How OCM Wealth Management is preparing for two Greek scenarios

Preparing for two scenarios

Since the highs in April (China and allies aside), most stockmarkets have fallen and/or moved sideways for the last few weeks, as the indecision over matters such as Europe have played on investors' minds.

During this period, we have consciously kept back capital via an over-allocation of cash in our higher return portfolios (OBI 8 and OBI 10) to ensure we keep risk to a minimum, while having the flexibility to move if the opportunity presents itself to invest in favoured assets at lower levels.  As most of our thinking has surrounded what we expect can/will happen next in Greece, we think it is prudent to outline the possible scenarios and how we will be looking to reposition our OBI portfolios. Scenario one: Greece can't pay, won't pay, defaults on the loan repayments and therefore st...