As well explained by JPMAM’s Alex Dryden here, there is also an argument to be made that pulling out money in May each year indiscriminately hits portfolio returns over the long run, and a more selective approach taking each year on its merits would be better advised.
For some it will simply be a case that they want to pay less attention to their portfolios while enjoying the summer in foreign parts, therefore taking risk off the table is a lifestyle choice rather than an investment decision.
But for those who want to maximise returns and do not mind keeping one eye on their asset allocation during the summer months this year could present more opportunity than most.
