Evelyn Partners has issued a managed portfolio service (MPS) rebalance note, revealing an increased allocation to equities in several of its models, as well as fund additions.

The wealth management firm stated that changes in the rebalance were primarily driven by asset allocation adjustments and initiating positions in two new funds: Trium Climate Impact and Regnan Sustainable Water and Waste.

In its lower risk models (Conservative and Cautious), the cash weighting was reduced to fund additions to fixed income and bring them in line with in-house asset allocation.

Equity was increased by 0.75 per cent in the Conservative model, funded from cash.

Meanwhile, in Evelyn Partners’ Balanced, Growth and Adventurous models, the fixed income weighting decreased slightly to fund increases to equity.

The firm made no overall asset class exposure changes in its Max Growth model.

“Within fixed income we continue to favour sovereign bonds over corporate credit,” the rebalance note stated.

“Equities are broadly attractive, though we primarily continued to allocate to the US and core-style global equity funds.”

Evelyn Partners also revealed that, across all models, it switched from JPM Global Macro Sustainable into Trium Climate Impact in the Absolute Return allocation.

It explained that the shift was part of an exercise to reduce equity correlation in the Absolute Return allocation.

The firm described Trium Climate Impact as a market neutral hedge fund that invests in mid and large cap climate solutions in its long book, and hedges out volatility, factor and style risk in its short book.

Within Evelyn Partners’ moderate to higher risk models, it has switched out of Robeco SAM Smart Materials into Regnan Sustainable Water and Waste.

“This reflects our preference for the more defensive nature of the water and waste theme, which are crucial to everyday functioning of society throughout the economic cycle,” Evelyn Partners noted.

“Additionally, the team’s focus on qureflectaracteristics of businesses and the sustainability of their investee companies’ operations reflects our own investment philosophy well.”

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