European equities look ready to rally

Money Observer's hypothetical balanced portfolio is making good progress. Manager Jason Evans at Kohn Cougar tells Helen Pridham why a Japan holding has rallied and why he is increasing European equity exposure with a new fund.

Stockmarkets have continued to recover since October's previous review. Investors are beginning to increase their equity exposures, although they remain unsure about the future.

The outcome of the US election resolved one uncertainty, but there are plenty of potential pitfalls ahead. That said, investors are becoming more positive. The FTSE All-Share rose 3.9% over the quarter.

The portfolio did not rise as much as the stockmarket, because of its asset mix, but it had a relatively good quarter, returning 2.7%. The Association of Private Client Investment Managers and Stockbrokers Balanced Portfolio index rose 2.3% over the quarter.

View the Original article