Jun-24: Insights

Read the latest Avastra Fund insights on Markets, Equities, Bonds and Alternatives for June 2024.

June 2024 Update

​​For UK professional investors only 

MARKETS

Equity markets powered on, driven by the US predominantly, as well as Emerging Markets.

UK Bonds were up on falling interest rate prospects.

The ECB cut rates, the BoE could go next, and then finally the Fed.

EQUITIES

The VT Avastra Global Equity Fund returned +2.56% for the month and is +9.83% YTD. During the month we made the following adjustments to the fund:

• Switch from Materials Sector into Consumer Staples Sector as slowing inflation ix expected to boost profit margins. 

The fund provides a “4-in-1” active allocation strategy across Regional, Sector, Factor and Manager strategies.

BONDS

The VT Avastra Global Fixed Income Fund returned +1.13% for the month and is +0.69% YTD. During the month we made the following adjustments to the fund: 

• Increased allocations to UK Longer Dated Gilts and Long Dated Corporate bonds and rate cuts are expected. 

The fund provides an active allocation approach to managing duration and credit quality exposure within the Bond sector 

ALTERNATIVES

​The VT Avastra Global Alternatives Fund returned +0.19% for the month and is 3.35% YTD. During the month we made the following adjustments to the fund: 

• Introduced allocations to Silver as Gold and Silver tend to be positively correlated. With Gold’s historical highs, Silver has the ability to catch up.
  
• Booked profits off recent gold rally as well as reduced allocations from JPM Multi Asset Income Fund. 

The fund provides both asset-based and risk-based diversification, as an alternative to equities and bonds.