The WealthSelect portfolio management team rebalance the portfolios every quarter to ensure they stay in line with their objectives. However, the portfolio managers also have discretion to rebalance the portfolios whenever necessary to either manage risk or capitalise on opportunities in the market.
Following the recent UK government bond market performance, portfolio managers Stuart Clark and Helen Bradshaw have reviewed the fixed interest positioning within the portfolios and undertaken an ad hoc rebalance across all the portfolios in the range. The team has increased the fixed interest allocation at the lower risk levels.
While the rebalance considered bond markets broadly, the recent underperformance of gilts meant the holding was both topped up to its previous model level as well as benefitting from the higher overall fixed interest allocation.
The ad hoc rebalance started on 13 January 2025 and follows WealthSelect’s quarterly rebalance in December when the team increased its equity allocation to the United States, particularly large-cap value, following the re-election of Donald Trump.
