Multi-asset managers: How we are positioned ahead of Fed rate rise

Shifts in currency and equity positions

Multi-asset managers have been re-positioning their portfolios ahead of the first rate rise in the US since 2006, widely expected to come next month.

While some have chosen to add to US equity positions, which look to benefit from a strengthening dollar, others have reduced their exposure to the greenback in the belief the rate hike has already been priced in to the markets. This morning, Federal Open Market Committee minutes revealed most members are in favour of a rate hike next month, as long as there are no "unanticipated shocks", but a few members said the US economy may not be ready to withstand a rise on 16 December, leaving the door open to a final decision. Here, Investment Week talks to a number of multi-asset managers ab...