RWC income team holds 15% cash ahead of 'market correction'

RWC Partners' income managers are holding a 15% cash position in anticipation of a pull-back in equity markets.

Nick Purves is co-manager on the £41m Enhanced Income and £22.8m Income Opportunities funds, which launched in autumn last year. He says valuations look "full" and after such a strong upward move in markets there may be an opportunity in the coming months to deploy some of the cash. "Markets are up around 25% since last August so it seems sensible when share prices have gone up a long way to keep up cash levels. Valuations look quite full and it is likely at some point there will be an opportunity for better value at some point down the line. "We would not say it will be as strong ...