Risk of Greek exit is now a higher possibility
Nervous but not unruly markets today on the back of Greek uncertainty

The story so far (market data to 1pm London time)

  • European equities dropped by 6/7% on open today.  They subsequently rallied back to be 3-4% down. 
  • Peripheral European 10-year bond yields rise by 10-20 basis points. 
  • German, UK and US 10-year yields drop by 10-15 basis points. 
  • Euro falls against the US dollar by up to 2% on open, but subsequently rallies to be down 0.75%.

Aviva Investors' believe that the risk of a Greek exit is now a higher possibility.  The major worry about a Greek exit relates to contagion to other vulnerable eurozone nations.
What's next for Greece? What does a yes vote mean? What does a no vote mean?
MAFs - Longest track record, strong returns
The original risk targeted MAFs celebrate their fourth birthday in style

Unsurprisingly, you and your customers are looking for investment portfolio solutions that “ticks all the boxes” in terms of their risk profile requirements, excellent diversification, actively managed without constraints, and delivering strong performance with a low annual management fee. MAFs with circa €700 million in assets under management (Source: Aviva Life & Pensions as at 31 May 2015) and a 4 year track record have demonstrated their pedigree and consistency in all these respects.


Performance from launch (31 May 2011) to 26 June 2015
Performance **
Cautious MAF*22%
Strategic MAF*45%
Dynamic MAF*53%

* Funds mentioned have the prefix Aviva Irl.  **Source: Moneymate 29 June 2015. Performance is quoted gross of fund & product charges and tax.
Property opportunities outside Ireland
Attractive returns forecast for the European and UK Property markets
According to Aviva Investors:
  • The total return from the UK commercial property market is forecast at 9% pa over 2015 - 2019
  • The total return from the European commercial market is forecast at 8.6% pa over 2015 - 2019
For more on Aviva Investors' views on the:
Target Returns
Our latest AIMS Target Return Fund webinar
We held the latest of our popular AIMS Target Return webinars last month, and it was great to see over 600 Financial Brokers participating. 

The presenters were Peter Fitzpatrick (Fund Manager, AIMS Target Return Fund) and Dave Robson (Head of Adviser Sales, Aviva Investors).

You can listen to playback to the webinar here. 

Please note that unfortunately CPD does not apply to views of the webinar playback.
View webinar now
Interactive Fund Centre
Fund and market highlights
 
The return of inflation in April


May kicked off with a European bond market correction, which resulted in a volatile month for fixed income.

Several developed market economies posted first-quarter GDP growth: euro area GDP surprised on the upside at 1.6% quarter on quarter (q/q) annualised, beating UK and US growth for the same period.

Brent and WTI crude oil prices remained steady, moving less than USD 1.50 per barrel between the start and end of May.

Emerging market assets suffered, but easing from the People’s Bank of China and moderate reform progress in India offset the less constructive stories and performance of Brazil and Russia.

Funds higher up the risk spectrum delivered the strongest returns in May. The Dynamic Multi Asset Fund was up 2.03% and our flagship high yield equity fund was up 3.05%.

For May's latest fund performance click here.
For our daily performance summary click here.
 
Contact

Karen Deenihan
Investment & Savings Marketing Manager, Aviva Life & Pensions
karen.deenihan@aviva.ie
01-8986313

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What's New
  • View the AIMS Target Return Webinar playback
  • View Q&A on the Merrion Multi Asset 70 rebrand
  • View UK Real Estate - returns cooling but outlook remains positive
  • View European Real Estate - increasing momentum in Europe's economy and real estate 
  • View the latest AIMS Target Return Fund presentation
  • View the latest AIMS Target Return Fund monthly report
  • View the latest MAF monthly report
  • View the latest Irish Property Fund report
  • View the latest High Yield Equity Fund report
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