Rathbones' Coombs: Multi-asset Funds 'called It Right' But Unable To Combat Hardship

clock

• 3 min read

David Coombs, head of multi-asset at Rathbones Unit Trust Management
Image:

David Coombs, head of multi-asset at Rathbones Unit Trust Management

The falling bond market across both credit and sovereigns has provided a recessionary hedge as the outlook for growth grows ever bleaker, although multi-asset funds are still struggling to tackle the difficult investment environment.

David Coombs, head of multi-asset at Rathbones Unit Management Trust and manager of the Rathbone Multi-Asset Strategic Growth portfolio, argued that conventional sovereign bonds are a good recessionary hedge for investors. "As yields rose in the second quarter, we added to our bond portfolio, selling off some index-linked assets as US treasuries rose to 3.5%, and subsequently buying into conventional 10-year US treasury notes," he said. "We have been in the recession camp for nine months now and have positioned best we can but still have negative numbers on the portfolio level year to...

To continue reading this article...

Join Investment Week

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week

member?

Login

RECENT NEWS

Gyrostat Capital Management: The Hidden Architecture Of Consequences

When Structures Themselves Become A Risk In portfolio construction, risk is rarely where we look for it.... Read more

Gyrostat November Outlook: The Rising Cost Of Doing Nothing

Through the second half of 2025, markets have delivered a curious mix of surface tranquillity and instabi... Read more

Gyrostat Capital Management: Blending Managers - From Style Diversification To Scenario Diversification

The Limits of Traditional Diversification For decades, portfolio construction has ... Read more

Gyrostat October Outlook: Beneath The Calm, The Cost Of Protection Rises

 Even as global equity indices remain near record highs, the pricing of risk is shifting quietly ben... Read more

Gyrostat Capital Management: Solving The Nastiest Problem In Finance

Retirement Income and Sequencing Risk Executive Summary ... Read more