Steffan Selbach

“Because of the better technical situation of many equity indices, we now have a higher tactical exposure to equity. We bought Euroland equities because we believe that Europe, next to the emerging markets, should benefit most from the world-wide recovery story. Sentiment indicators and some real economic data indicate that the worst might be over. We still see a high potential for corporate bonds this year. For German government bonds we see the risk of a rising yield in direction to 3.4-3.5 per cent for 10 year-bonds so we reduced our position in Government-bond funds.”