FYI: Investors have long been told that asset allocation is the single most important driver of returns. Now, with U.S. stocks sinking, emerging markets in turmoil, and interest rates on the rise, a good case can be made for outsourcing some of big-picture decisions to managers of global allocation funds.
“They are closer to the opportunities and the risks, and they wake up every day and think about these things,” says Jeffrey Ingraham, a portfolio strategist at Manning & Napier Advisors, which manages single-asset class, multi-asset class, and global allocation strategies.
Global allocation funds run the gamut when it comes to investment philosophy and strategy. Because they typically have carte blanche to invest across almost every asset class and region, they are particularly useful during times of market transition, as they can move quickly to sidestep risk or jump on opportunities.
Regards,
Ted
https://www.barrons.com/articles/during-market-tumult-take-a-look-at-global-allocation-funds-1539354702?mod=hp_DAY_7
