Reits offering higher returns as hedge fund shake-up opens doors

Conviction is growing that a recovery is underway and equities have pushed further into new territory for the year.

Among the strongest equity classes are emerging markets which, powered by a strong economic recovery, have led the pack. I am overweight emerging market equities and do not share some people’s immediate concern that the asset class is the next bubble. I recognise some of early characteristics, rather like the early days of the tech bubble, but bubbles tend to take a surprisingly long time to inflate. Most investors’ allocation to emerging markets is still very small. By the time we reach the top of this cycle, allocations will be much higher. At that point, there will be a noticeable ...