Freedom Experts Maintain Nearly One-Third of Model Portfolio in Cash

Freedom Broker analysts have retained a significant cash position in their absolute return strategy model portfolio. As of the end of the week, cash accounted for 30.93% of the portfolio’s economic weight. These funds are held in a D-account yielding 3.69% per annum in U.S. dollars, according to the company’s weekly overview.

The model portfolio reflects the analysts’ investment views and serves as a benchmark for clients. A high cash allocation indicates that a portion of capital remains uninvested in equities or other risk assets, instead held in cash instruments.

The portfolio rebalancing occurred amid hawkish signals from the new Federal Reserve Chair Kevin Warsh, rising odds of interest rate hikes, and increasing government bond yields — factors that continue to constrain demand for risk assets, analysts noted. Freedom Broker maintains a cautious outlook on U.S. equities.

Not an individual investment recommendation.