Standpoint’s January commentary on their portfolio allocation contains this explanation from the CIO:
« January 2022 was a pivotal month for our macro style of investing. Rising interest rates and declining equity markets suggest potential stagflation. Our equity exposure has been reduced significantly. Our portfolio is long global energy, short global bonds, and short several prominent currencies against the U.S. dollar.
We are also noticing developing strength in a plurality of commodity markets, such as grains, livestock, and softs (cotton, coffee, etc.). »
They are also shorting international equities. I appreciate their clear prose, devoid of jargon, to be refreshing. Whether they are right or not is of course up to the gods.
