Subscribers

Invest in multiple assets to manage climate issues: Pictet

It also advocates inclusion of real assets like real estate and commodities as they are effective inflation hedges

Singapore

CLIMATE-CHANGE issues will affect everything from asset-class dynamics to strategic asset allocation and investing styles, said Pictet Wealth Management in its 2021 edition of Horizon - an annual publication that details its 10-year view on economies, expected returns and strategic asset allocation.

It is advocating an asset-allocation strategy that moves away from the classic 60/40 portfolio - in which 60 per cent of one's portfolio is focused on equities, with the other 40 per cent on bonds - to that of endowment-style investing, that is, the multi-asset approach adopted by endowment funds.

Pictet Wealth Management is the wealth management arm of the Geneva-based Pictet Group, with US$703...

KEYWORDS IN THIS ARTICLE

BT is now on Telegram!

For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes