Asset Allocation Outlook April

09 April 2020

Last month we were rather non-committal as to whether the spread of the coronavirus would cause a recession, but it’s now clear that it will. In the face of the publication of unprecedentedly weak economic data, the financial markets have in fact calmed down somewhat. This is mainly because the coronavirus appears to be spreading slightly less rapidly in China, South Korea and Europe, but also a result of the enormous monetary and fiscal stimulus packages that have been announced. In our investment policy we have slightly increased our allocation to US credits, while we continue to hold an underweight in equities.

Please see Kempen’s Asset Allocation Outlook for April. The highlights this month are:

Global economy heading for severe but potentially brief recession
U-shaped scenario most likely
Investment policy remains cautious

2020, 08 April

Asset Allocation Outlook

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Disclaimer
Kempen Capital Management N.V. (KCM) is licensed as a manager of various investment funds and to provide investment services and is subject to supervision by the Netherlands Authority for the Financial Markets. This information may not be construed as an offer and provides insufficient basis for an investment decision.

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Asset Allocation Outlook April

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Asset Allocation Outlook

The Asset Allocation Desk

Joost van Leenders

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