Investment Committee – May 2023


Navigating Market Stability, Harnessing AI, and Portfolio Strategy Adjustments

The Investment Committee convened in May 2023 to evaluate recent market developments, strategic investment approaches, and the potential implementation of advanced technology in our services. The Committee focused on three main areas:

Short-term Market Outlook

The Committee observed a reduction in market volatility due to the stabilization of interest rate changes, lower volatility in macroeconomic data, and the actions taken by US and Swiss authorities to save financial institutions at risk. The Committee suggests investors maintain positive-carry trades for the month and expects main assets to remain within the tight price ranges of April.

Enhancing Asset Management Services with Technology

The Committee acknowledged the potential benefits of incorporating advanced technology, such as Artificial Intelligence (AI), to provide first-class asset management services and add value to client portfolios. The recent launch of MarketDigest, our AI-powered tool that generates accurate and descriptive summaries of third-party analyses and research, exemplifies our commitment to enhancing our advisory services and creating investment strategies that improve portfolio performance.

Expert Insight on Artificial Intelligence in Investments

Dr. John Soldatos, an esteemed expert in AI, was invited to present at the Investment Committee meeting. He provided valuable insights into the current state of AI, its disruptive potential in financial services, and its specific applications in asset and wealth management. The Committee was highly receptive to these ideas and is actively considering how to leverage AI technologies to further enhance our services and investment strategies.

The Investment Committee voted on adjustments to the model weights for May 2023, which reflect the aforementioned market outlook and strategic considerations. Changes in allocations include reduced exposure to cash, increased exposure to fixed income, and a higher allocation to equities, particularly in emerging markets. Additionally, allocations to alternatives have been moderately increased. Full details of these adjustments can be found in a separate article.

The Investment Committee remains committed to monitoring market developments and adjusting its recommendations as necessary. By incorporating technological advancements in our asset management services, we strive to provide our clients with the best possible investment strategies and portfolio performance.

Authors: John Couletsis and Kostas Metaxas