Skip to main content
UK - Financial Adviser
Select Region Select User Type
  • Global
    • Home
  • UK Investors
    • Financial Adviser
    • Private Investor
  • International Investors
    • Private Investor
    • Professional Investor
  • Fund Centre
    • Our Funds
      • Equities
        • Rathbone Global Opportunities Fund
        • Rathbone Greenbank Global Sustainability Fund
        • Rathbone Income Fund Fund
        • Rathbone UK Opportunities Fund
      • Fixed Income
        • Rathbone Ethical bond Fund
        • Rathbone High Quality Bond Fund
        • Rathbone Strategic Bond Fund
        • Rathbone Greenbank Global Sustainable Bond Fund
      • Multi-Asset
        • Rathbone Greenbank Multi-Asset Portfolios
        • Rathbone MULTI-ASSET PORTFOLIOS
      • Sustainable
        • Rathbone Greenbank Global Sustainable Bond Fund
        • Rathbone Greenbank Global Sustainability Fund
        • Rathbone Greenbank Multi-Asset Portfolios
    • Literature Library
    • Consumer Duty
    • Prices and Performance
    • Glossary of Terms and FAQs
  • Strategies
    • Equities
    • Fixed Income
    • Multi-Asset
    • Sustainable
  • Our Clients
    • Private Investor
    • Financial Adviser
    • International Private Investor
    • International Financial Adviser
  • Rathbones
  • Global Home
  • Insights
    • Fund Insights
    • In the know blog
    • Review of the week
    • The Sharpe End podcast
  • About us
    • About us
    • Our People
    • Awards
    • Media centre
    • Responsible Investing at Rathbones
  • Contact
Home Home

Search

  • Fund Centre
    • Our Funds
      • Equities
        • Rathbone Global Opportunities Fund
        • Rathbone Greenbank Global Sustainability Fund
        • Rathbone Income Fund Fund
        • Rathbone UK Opportunities Fund
      • Fixed Income
        • Rathbone Ethical bond Fund
        • Rathbone High Quality Bond Fund
        • Rathbone Strategic Bond Fund
        • Rathbone Greenbank Global Sustainable Bond Fund
      • Multi-Asset
        • Rathbone Greenbank Multi-Asset Portfolios
        • Rathbone MULTI-ASSET PORTFOLIOS
      • Sustainable
        • Rathbone Greenbank Global Sustainable Bond Fund
        • Rathbone Greenbank Global Sustainability Fund
        • Rathbone Greenbank Multi-Asset Portfolios
    • Literature Library
    • Consumer Duty
    • Prices and Performance
    • Glossary of Terms and FAQs
  • Strategies
    • Equities
    • Fixed Income
    • Multi-Asset
    • Sustainable
  • Our Clients
    • Private Investor
    • Financial Adviser
    • International Private Investor
    • International Financial Adviser
  • Rathbones
  • Global Home
  • Insights
    • Fund Insights
    • In the know blog
    • Review of the week
    • The Sharpe End podcast
  • About us
    • About us
    • Our People
    • Awards
    • Media centre
    • Responsible Investing at Rathbones
  • Contact
Home

Search

Rolling with the devil

Whether rolling cheese down a hill, braving the chaos of a Spanish fiesta or investing in the stock market, you should always take precautions, argues Will McIntosh-Whyte, assistant manager of our multi-asset funds.

13 December 2018

My stepfather once drunkenly claimed he won the infamous Double Gloucester cheese-rolling race.

For the uninitiated, this event consists of a bunch of brave idiots chasing a round cheese down a very steep hill with hilariously painful results. Of course, along came Health and Safety to shut down the event, consigning it to the annals of history (or more accurately, I believe, shadowy and illegal underworld management). It’s only a matter of time till the fun police throws cold water on Halloween and Bonfire Night too, so make the most of it while you still can. We’ll be reduced to Netflixing and twirling sad sparklers – if we are lucky.

On a recent visit to southern Spain, I stumbled upon a local fiesta to which Health and Safety had not got the invite. By day, sozzled youths spent the afternoon narrowly avoiding charging bulls (mostly); no helmets in sight. By night, fireworks and bonfires on the beach were capped by the Great Fire Run. This relatively psychedelic experience sees locals dressed as freakish devils walking the streets spraying flares and fireworks over/on the public. Much like the bull running, the aim seems to be to get as close to the sparks as possible; there are no barriers keeping people back, the Spanish take a more “at your own risk” approach. Despite the mild weather, the locals are largely covered from head to toe. They’ve done this before. It’s fire, there’s risk, they take precautions. Contrast this with the handful of tourists in their shorts and short sleeves, compounding their sunburn as the odd spark lingers and burns the skin.

Halfway through this year, a colleague of mine remarked on how a private client had noted his disappointment at the low-single digit returns his portfolio had produced in 2018. Anyone running a multi-asset portfolio this year will know that the only game in town for the first six months of the year was equities, and more specifically US equities. I felt this client’s sentiment was an indication that risk/return expectations were starting to get skewed after several fantastic years for investors. While I’m sure many managers wished they had more exposure to equities, it is important not to forget that they are a risky asset and it is important to be diversified. As we are seeing now. David Coombs has noted before that October can be a wobbly time for markets. This year has proved the rule once again.

We have spent much of this year adding layers of protection to the portfolios so that when sparks flew we would (hopefully) not get too badly hurt. Gold, Australian government bonds and put options to name a few. We have tried to build a basket of protective assets on the fear that traditional safe haven assets might not provide the protection that they have historically because of very low yields. In fact, having more in cash than traditional fixed income has helped performance this year.

Of course rather than go to the fiesta, you could just stay safely holed up at home and miss the fun, with your cash in the bank. But we think that won’t help our investors get where they need to be in the future. That’s why we’re still skewed towards – and buying when prices slip – equities, particularly American ones with strong growth prospects and tough balance sheets. We don’t want to sit out the fiesta, we’re just making sure we’re wearing a long sleeved top and some glasses.

For those that are going to get amongst it in a singlet and shorts, you have to accept that at some point there’s every chance you are going to get burnt.

 

Most popular blogs

29 February 2024

Nvidia: from pastime to new paradigm

A business created to make computer game graphics more beautiful stumbled into driving AI, one of the most important technologies of the 21st century. Rathbone Greenbank Global Sustainability Fund manager David Harrison explains what all the fuss is about.

Find out more

5 mins

4 December 2024

Why active management has a place in 2025 and beyond

The rise of passive investment is storing up risks that many investors may not realise they are taking. James Crossley, our head of Rathbones Asset Management distribution, makes the case for active managers.

Find out more

3 mins

9 January 2024

2024: The Year. Maybe?

Our head of multi-asset investments David Coombs starts the new year making a three-point turn with a dump truck of salt. Behold, we have his predictions.

Find out more

3 mins

18 January 2024

Ceasing to worship at the altar of stock-pickers

Back in secondary school, our head of multi-asset investments David Coombs was a champion stock-picker. Although, he had help from his teacher’s direct line to the market – which taught him markets tend to be unfair.

Find out more

4 mins

In The KNOW blog

Read the latest news and views from our fund managers

Blog posts

Subscribe to the In The KNOW blog

You can unsubscribe at any time. For details on how we handle your data, visit our Privacy policy.

CAPTCHA

Let's Talk

Ready to start a conversation? Please complete our enquiry form, we look forward to speaking with you

Enquire
  • Important Information
    • Brexit Statement
    • Important information
    • UK Modern Slavery Act
    • Accessibility
    • Privacy
    • Cookies
    • Cookie preferences
    • Complaints
  • Important Information
    • Consumer Duty
    • Voting disclosure
    • Assessment of value reports
    • TCFD Reports
    • SDR Consumer-Facing Disclosures
    • Financial Ombudsman Service
    • Financial Services Compensation Scheme
    • Glossary of terms and FAQs
    • MIFIDPRU8
Address

Rathbones Asset Management
30 Gresham Street
London
EC2V 7QN

Rathbones Asset Management Limited is authorised and regulated by the Financial Conduct Authority and a member of the Investment Association. A member of the Rathbone Group. Registered Office 30 Gresham Street, London EC2V 7QN. Registered in England No 02376568.

© 2025 Rathbones Group Plc
Incorporated and registered in England and Wales. Registered number 01000403

Follow us
LinkedIn
City Hive Logo
ACT Logo

Rathbones Asset Management is delighted to be an early signatory of the ACT Framework created by City Hive

Diversity Project Logo

Rathbones Asset Management is a member of The Diversity Project

The value of your investments and the income from them may go down as well as up, and you could get back less than you invested.