European Capital Partners - Bucking the trend Discover this fund | European Capital Partners
Asset management and fund structuring boutique

Bucking the trend

Oct 13, 2023

As we explained in yesterday’s daily, performance of the traditional 60/40 portfolios has been suffering since central banks started to hike rates. The main reason is the positive correlation between stocks and bonds. As illustrated in the below graph from Crescat Capital, this is a new regime after 2 decades of negative correlation and a “golden age” for 60/40 portfolios. Our SSF-multi asset fund at ECP has been buking this negative trend by a combination of quality investments in equities and extreme selectivity on the bond side ( )

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