“As a tactical player trying to manage risks in uncertain market conditions, we’ve decided to take a wait-and-see attitude,” Thompson added. “We’re building cash positions and remaining liquid so we’ll be ready to move once momentum clearly shifts one way or the other.”
While Thompson is avoiding developed foreign markets, he believes the emerging markets offer some opportunities.
“Growth appears spotty at best, and we remain cautious over the near term about Europe, Japan and developed Asia,” Thompson said. “We see funds that focus on emerging consumer markets as well positioned to continue to build momentum.”
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Max Chen contributed to this article.