Investment Market Update - February 2021

It's all about reflating the World’s economies.

Welcome to our February TPO Investment Market Update, which is the first from our New Chief Investment Officer, Toni Meadows.

Whilst the UK surges ahead in the race to vaccinate, the world needs to get to herd immunity. Meanwhile it is debt and financial stimuli that are driving markets. Reflation will be crucial and debt management will underpin the movement back to a more ordinary economy which will be key to future success.

In this article we follow on from last month’s Investment Market Update where we predicted our expected themes for 2021 and concentrate on reflation, interest rate expectation and the threat of tax rises in the future.

The main topics in this update are:

  • Reflation is the theme
  • Vaccination and herd immunity
  • The steepening “yield curve” and continuing low interest rates
  • Valuation and Price /Earnings ratios
  • When will taxes start to pay for the pandemic?

You may notice we have not shared performance of all our portfolios in this update - we will be reporting these to you differently going forwards - keep an eye out for those updates!

To find out more, read our full investment market update.

Investment Market Update - Download here

If you have any questions relating to the content of the article, please contact us. We are here to support you.

Note: This Market update is for general information only, does not constitute individual advice and should not be used to inform financial decisions. Investment returns are not guaranteed, and you may get back less than originally invested; past performance is not a guide to future returns.