“Equity markets maintained their upward trend over the last few weeks but at a slower pace, which in a sense is reassuring as price to earnings ratios have already re-rated significantly. This strong rise in equities is mainly the result of the improvement in the economic environment since March. Our credit and convertibles bets still provided positive returns. Equities should continue to benefit from the recovery in earnings and in the macro environment. We do not see changes in monetary policies as an immediate major risk for equity markets as we are still at very accommodative levels. Thus, we increase the equity exposure by 2 per cent.”