Asset Management Strategies in Today’s Financial Environment

Expert Conversation: Asset Management Strategies for 2026 with Michael Goldman By Franck Rijk, Fixed Income Advisor at Welford Capital | March 2026

Continuing our series, I spoke with Michael Goldman about smart asset management amid UK-specific challenges and global trends.

Franck Rijk: Michael, welcome back. With UK growth slowing and inflation risks elevated, what asset management strategies should investors consider in March 2026?

Michael Goldman: Great question, Franck. The environment is mixed. The Bank of England’s hold at 3.75% and rising gilt yields signal caution on the fixed income side, while AI-driven productivity gains offer growth potential globally. In the UK, with forecasts pointing to modest 1.1% GDP growth, a balanced approach is essential—avoiding overexposure to any single asset class.

Franck Rijk: How should investors think about diversification right now?

Michael Goldman: Diversification remains the cornerstone. A core portfolio might include equities for growth (favouring sectors benefiting from AI or resilient UK companies), fixed income for stability (taking advantage of current gilt yields), and alternatives for inflation protection. We’re seeing rotations away from concentrated tech toward broader opportunities, including European or emerging markets that could benefit if UK domestic pressures ease.

Franck Rijk: What role do active versus passive strategies play in this landscape?

Michael Goldman: Both have merits. Passive ETFs provide low-cost exposure to broad indices, which is useful in volatile times. Active management, however, can add value by navigating UK-specific risks—like energy price impacts from the Middle East conflict—or capitalising on undervalued areas. At Kingston Funds, we often blend both within a holistic asset allocation framework reviewed quarterly.

Franck Rijk: Any actionable tips for readers balancing growth and risk?

Michael Goldman: Start with your goals and risk tolerance. For many, maintaining liquidity buffers is wise given potential rate volatility. Consider sustainable or thematic investments tied to long-term trends like AI, while keeping an eye on UK fiscal developments. Regular rebalancing helps capture opportunities without emotional decisions.

Franck Rijk: Sound advice. At Welford Capital, our financial planning services help clients implement these strategies effectively.