SO

For the umpteenth time – do not touch US equities on an investment basis. Trading, of course, varies. Last bulletin, February 8th, pointed out that bear markets spend little time actually falling and the market then was very over-sold. I modestly participated for clients in the subsequent sharp rally, with the silver share Strategy 2016 recommendation doing particularly well. As I write it has exploded. More than 100% this year. The industrial metals investment trust that I wrote positively about also did well. And, not in previous bulletins, there was modest trading success in an oil share and a diamond mining one.

Given the size and speed of these rallies off monster over-sold, I have cleared all the positions, bar a modest one in the diamond company where trading fortunes could about double over the next couple of years ceteris paribus (which they seldom are). The major capital development programme is giving way to explosive cash flow growth.

Otherwise I continue to run high yield equities (UK utilities plus/minus 15% of portfolios – plus other high yield). This covers my refusal to touch quality bonds – being expensive as never before in history (yes, I have missed three trades there, that I considered!) Most expensive ever. Per below.

David Fuller's view

Here is A Personal View From Peter Bennett.

Needless to say there are plenty of risk warnings in this refreshing letter from someone who is vastly experienced and not afraid to say what he thinks. 

You may or may not agree but I do not think any subscriber will be bored by Peter’s comments.  He also has a great section on Brexit.