VAM Managed Funds (Lux) Commentaries

August 2021 (click here to download)

VAM DISCRETIONARY FUNDS

VAM Cautious Fund

In August, equities moved higher against further corporate news flows, with emerging market economies raising alarms and Covid-19 remaining a concern. Chinese equities continued to take a hit in view of the continued government crackdown whilst European and US equities pushed higher as investors kept faith in an economic rebound. Many businesses continue to recover from the pandemic and recovery momentum remains solid amidst continued supply constraints.

The ECB hinted at a taper with the Fed adopting a dovish stance dissipating rumours of a potential taper. Yields rose from July’s lows with higher-yield emerging market bonds being outperformed by their global peers, resisting predictions that the Federal reserve would move towards reducing monetary stimulus.

In light of the generally supportive tone supplied by Central Banks and with interest rates being kept low, gold and interest-rate sensitive bonds fared well. Investors have one eye on the high inflation prints, and another on companies reporting the intention to raise prices as they suffer from input cost increases.

VAM Balanced Fund

In August, equities moved higher against further corporate news flows, with emerging market economies raising alarms and Covid-19 remaining a concern. Chinese equities continued to take a hit in view of the continued government crackdown whilst European and US equities pushed higher as investors kept faith in an economic rebound. Many businesses continue to recover from the pandemic and recovery momentum remains solid amidst continued supply constraints.

The ECB hinted at a taper with the Fed adopting a dovish stance dissipating rumours of a potential taper. Yields rose from July’s lows with higher-yield emerging market bonds being outperformed by their global peers, resisting predictions that the Federal reserve would move towards reducing monetary stimulus.

In light of the generally supportive tone supplied by Central Banks and with interest rates being kept low, gold and interest-rate sensitive bonds fared well. Investors have one eye on the high inflation prints, and another on companies reporting the intention to raise prices as they suffer from input cost increases.

VAM Growth Fund

In August, equities moved higher against further corporate news flows, with emerging market economies raising alarms and Covid-19 remaining a concern. Chinese equities continued to take a hit in view of the continued government crackdown whilst European and US equities pushed higher as investors kept faith in an economic rebound. Many businesses continue to recover from the pandemic and recovery momentum remains solid amidst continued supply constraints.

The ECB hinted at a taper with the Fed adopting a dovish stance dissipating rumours of a potential taper. Yields rose from July’s lows with higher-yield emerging market bonds being outperformed by their global peers, resisting predictions that the Federal reserve would move towards reducing monetary stimulus.

In light of the generally supportive tone supplied by Central Banks and with interest rates being kept low, gold and interest-rate sensitive bonds fared well. Investors have one eye on the high inflation prints, and another on companies reporting the intention to raise prices as they suffer from input cost increases.

Source: Sanlam Private Wealth.
Sanlam Private Wealth is a trading name of Sanlam Private Investments (UK) Ltd.

Disclaimer

VAM Cautious, Balanced and Growth Funds are compartments of VAM Managed Funds (Lux).

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