HSBC GAM's $8bn wealth head swaps equities for credit

Natalie Kenway
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HSBC Global Asset Management's Caroline Hitch is reducing exposure to equities in favour of credit in the firm's $8bn World Selection portfolios as she fails to find "compelling" valuations for shares.

The head of wealth portfolio management said she now prefers credit markets to equities, but added government bond yields look 'scary'. The manager runs risk-rated, multi-asset portfolios within the World Selection strategy which has $12.5bn in funds under management globally, and $8bn in the UK. She selects passive investments such as tracker funds and ETFs, as well as active vehicles, typically from HSBC's own range but also externally. "We have been [weighted] towards equities for a while now and have been reducing that. Valuation levels in markets show us nothing very compellin...

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