We made asset allocation changes in the first quarter. As usual, the adjustments were gradual. Similar to long voyages, slight course adjustments are always important. Otherwise, one ends up far away from the original target expectation.

Since taking on the role of Chief Investment Officer in October 2021, I have advocated a policy of small steps. electionThat may not be a slogan that will win any elections. After all, bold decisions and interventions with big impacts are expected! But in the unpredictable world of financial markets, an overly bold approach leads to a dead end. Simply because decisions that turn out to be wrong after a short time are unavoidable. In such cases, it is good if those decisions can be easily revised. 

We must always remain agile in our investment decisions. The boxer Muhammad Ali said it best: “Float like a butterfly, sting like a bee.” We made small stings in January and February on both bonds and stocks. You can read the details in this quarterly report. 

I can already anticipate one thing: the equity portfolio has been positioned somewhat more defensively. However, we remain overweight in equities. After the rise in share prices since the end of October 2023, market participants are noticeably in a better mood. However, we can detect exuberant sentiment only in isolated cases. 

There are still many promising spots on the map of the stock market. 

The decisions we have made at Gutmann Portfolio Management and our market assessments can be found in the Gutmann quarterly report below for download in PDF format.