Openwork Market Summary – April 2020

Despite the last day of April largely being a negative one for global equity markets, in the main April saw markets recover some of the lost ground experienced in the first few weeks of March.

Investors remain hopeful that lockdowns will continue to ease enabling governments to get the economy moving again.

In terms of currency, £ Sterling ended April at 1.26 US Dollars.  This was 1.4% higher than the figure at the end of March. Similarly, against the Euro, £ Sterling ended April at 1.15 Euros, which was 2.1% higher than the March closing figure.

Inflation, as measured by the Consumer Prices Index including owner occupiers’ housing costs (CPIH).  It was 1.5% in March 2020 (this is March’s data which is reported in April).  This was down from 1.7% in the previous month.  The 12-month rate for the Consumer Prices Index (CPI) rate which excludes owner occupied housing costs and council tax was also 1.5% in March, also down from 1.7% in February.

The Bank of England maintained interest rates at 0.10% in April, following the two rate cuts in March.  The first cut to 0.25% was on 11 March followed by a further cut to 0.1% on 19 March.

The Omnis Managed funds, Openwork Graphene Model Portfolios and Omnis Managed Portfolio Service provide you with a diversified asset allocation in line with your Attitude to Risk, investing in Developed Market Equities, such as UK, US, Europe and Asia Pacific as well as Emerging Market equities.  Cautious and Balanced investors will also have significant holdings in UK and Global Bonds, as well as Alternative Strategies.

We believe this multi-asset approach aims to minimise global equity market falls in volatile periods.