Neptune's Breese cuts defensives for cyclicals

Neptune's Alex Breese has been reducing defensives and adding to early cyclical stocks in his Special...

Neptune's Alex Breese has been reducing defensives and adding to early cyclical stocks in his Special Situations fund. Breese says topping up financials, support services and technology has ensured the fund is well-placed to take benefit from the market rally, creating alpha. He has gained 60% on the initial purchase price of Rentokil, which was added to the portfolio in earlier this year. He says: "Increased money supply growth, historically low interest rates, an upward sloping yield curve and the relative outperformance of the early cyclical sectors all indicate that we are no longe...