After a uniform rally greater dispersion of returns is on the cards

It is very hard to make any convincing predictions after such a turbulent, but ultimately very rewarding year in 2009.

However, we still feel we will be able to generate positive returns in the year ahead and are confident we can still find a number of asset classes we favour going forward. We have employed three central trades going forward; inflation, quality and yield. Within this we particularly like global inflation-linked bonds, agricultural commodities, high-quality equities and high-yield bonds. In addition, we strongly believe after the uniform rally of all asset classes and individual investments, there will be a greater dispersion of returns this year and we will move from a “beta” to an “a...