The past three months have been an extraordinary period for all of us, with ramifications that go far beyond investment markets. The sheer scale of what has happened in recent weeks is staggering, from unemployment claims in the US to mass furloughing in the UK, the hundreds of billions of pounds pledged by the chancellor to bolster the economy, and the trillions of dollars of US Federal Reserve support.
Welcome to our first update of 2020 for the Money Observer ethical portfolio. A great deal has changed since our last piece – not only does Prime Minister Boris Johnson now command a substantial parliamentary majority, but the UK has also now left the European Union. How has this impacted our investment selections over the past three months?
It has been three months since we presented our initial selections for the new Money Observer ethical portfolio, and the time has flown by. “May you live in interesting times,” goes the apocryphal Chinese curse; in this first update, we review market developments over a very ‘interesting’ period, explore what these have meant for returns from the portfolio, and assess how its performance compares with that of markets in general.
We are delighted to have been invited to create a model fund-based ‘ethical’ portfolio for readers to follow. But before we introduce you to our fund selection, let’s quickly establish our approach to the task in hand.