Portfolio Update-May 2023!

Portfolio Performance YTD!

As the earning season ends, the equity markets in the US have remained in a tight range. The AI mania is holding out the Mega-Tech, averting even a minor correction in the index (SPY).

Since we are underweight, the US Stocks and since the mega caps have higher weights in our benchmark (MSCI World), we have slightly (around 96 bps) underperformed the benchmark YTD.

The growth in the US is tapering off as the monetary policy tightening transmission seeps into the economy. As a result, the outlook remains bleak for the US equities (broader markets are reflecting the same).

Nonetheless, the spreads continue to remain tight, and credit markets are still predicting a soft landing.

The playbook remains the same as discussed in December, and those who have not read it can now read the Global Outlook 2023 here.

PS: We have marginally underperformed our benchmark 60:40 p…