The current global market environment is experiencing an increased level of volatility due to the escalation in the Trade War impasse, as depicted in the below VIX index graph.
A spike in volatility suggests that increased trading activity is occurring which may have an adverse impact on valuations in the short term. In response to this we suggest maintaining an overweight cash position temporarily and therefore have decided not to re-invest cash distributions and dividends into growth assets; that have been received in the month of July.
Should you wish to discuss your portfolio, please speak directly to either Tony Vikram on 0421 344 238 or myself on 0488 993 175.
Thank you and regards
Rodney M. DeGabriele