Rethinking allocation

A month or so ago I repositioned the allocation in my SIPP.

S&P500 has too many yesteryear businesses in it.

Businesses which are going to struggle for growth in the new world.

High street brands are worth much less in the new world.

The brands relevant to the next generation will primarily be digital brands.

The next generation of young adults may never go into a physical bank, in their entire lifetime.

Their mobile device provides them with the access to all the services they need.

I got a report from ARK invest today called Rethinking Asset Allocation.

“We estimate that disruptive innovation will add $50 trillion to global equity market capitalizations by 2032.1 Today, these technologies account for less than $6 trillion, suggesting that they will deliver a 21% compound annual rate of return during the next 12 years.”

“In other words, we believe in little more than a decade the S&P 500 is unlikely to be even a shadow of itself today.”

How are you positioned for the seismic shift underway, from old world to new world?


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