In contrast, highly unpopular asset classes have in fact performed very well, such as commodities, government bonds and emerging markets. 

## Remarkable rebound in emerging markets since March


## Focus will turn back on fundamentals again

We retain our risk-on positioning in our tactical asset allocation. Now that investors have squared their positions to a certain extent, we expect the focus to switch to the improving momentum in the cyclical recovery in the developed economies. 

After several months of decline, bond yields also appear to have reached the bottom. This would seem to reverse opportunities for equities, in which we recently increased our position to a strong overweight. For real estate equities the prospect of – moderately – rising interest rates means a decrease in upward potential. 

The recent sound performance by emerging markets (EM) has led to us neutralise our EM debt positions. With regard to equities, we adopted a neutral stance for a few weeks but returned to underweight again.