Intelligence

Is a Multi-Asset Portfolio Needed to Counter Geopolitical Risk?

Increasingly, the investment terrain is changing as the U.S. squares off with major global economies like China over trade issues, and as political instability in Great Britain, North Korea, and other foreign bourses threaten U.S. markets. In such an economic environment, some asset managers are touting multi-asset portfolios as a much-needed fix in a volatile global economic climate. What’s your take? Should investors veer off from a stocks-only approach, and reformat their portfolios with 60% stocks and 40% bonds (for example), to mitigate U.S. and global market risk? Or, should investors stand pat and stick with stocks, which have dominated over the past decade? What’s your portfolio asset call in the current economic/market environment, and why?