We remain positive on the outlook for stocks. It is not unhealthy for some profit-taking to take place after the fantastic run since the lows in March. The Global Portfolio is fully invested and our investment thesis is intact.
Globally, stocks traded broadly lower in September, a month that has historically been volatile and bad for stocks. Psychological expectations can sometimes be self-fulfilling.
Investors are also jittery, as Covid-19 cases around the world are experiencing a resurgence and could lead to a slowdown in reopening or, worse, a rollback and another sweeping lockdown. In addition, there are some uncertainties over future policies in the run-up to the US presidential election on Nov 3.
