Talking PointNov 30 2023

Multi-asset investing in fast-moving times

  • Identify ways to protect portfolios against inflation
  • Explain the role of cash in diversified portfolios
  • Explain how equity assets perform in periods of high inflation
  • Identify ways to protect portfolios against inflation
  • Explain the role of cash in diversified portfolios
  • Explain how equity assets perform in periods of high inflation
Supported by
Schroders
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CPD
Approx.30min
pfs-logo
cisi-logo
CPD
Approx.30min
Supported by
Schroders
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Supported by
Schroders
pfs-logo
cisi-logo
CPD
Approx.30min
Multi-asset investing in fast-moving times
How investors can achieve diversification with their portfolios
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The 60/40 approach to portfolio construction, using bonds to diversify equity, worked particularly well for the decades leading up to 2020. 

But with this correlation having turned positive in recent years, what does this mean for portfolios and how to achieve diversification?

Additionally, the past two to three years have seen sudden shifts in the economy and the markets, which caused inflation to skyrocket. And even though inflation is now reducing it is still high. So how can investors protect their portfolios at this time and for the long term?

This report exploring these topics is worth 30 minutes of CPD.

CPD
Approx.30min
Please answer the six multiple choice questions below in order to bank your CPD. Multiple attempts are available until all questions are correctly answered.
  1. Why is a weaker economy not necessarily a bad thing?
  2. Which types of assets does Darius McDermott say can protect against inflation?
  3. True or false, in an inflation environment, within equity, value and asset-based businesses do worse than growth companies.
  4. The implications of debt refinancing are going to differ sharply depending on what?
  5. According to Lindsay James, which types of equity stocks are best placed to weather the storm of inflation?
  6. What role does cash play in diversified portfolios?
  7. To bank your CPD you must sign in or Register.