The coronavirus outbreak appears to have peaked in many countries and a quite a few economies are beginning to gradually reopen. Does this mean that investors should begin to take on a little more risk in their investments?
“Both yes and no,” says chief strategist Henrik Drusebjerg.
“At Danske Bank, we are not yet at the point where we wish to increase risk in our portfolios by significantly upping the share of equities. Instead we have slightly increased risk in the fixed income component of our portfolios, more specifically by raising the share of investment grade bonds and reducing the share of government bonds. Hence, you could say we are increasing the level of risk in our investments very cautiously,” explains the chief strategist.
Investments: Our strategists take on more risk – slowly, slowly
Danske Bank’s strategists assess developments and potential in the financial markets – and explain why we have recently increased risk in our portfolios.