Our portfolios have been underweight the market's favourites over the last few years and recent 12 months in particular. These can be summarized as bond proxies, growth stocks, and gold. All have been beneficiaries of ultra low-interest rates and the more intense than ever focus on earnings certainty and incremental upgrades. As an aside, not only have very low-interest rates encouraged asset bubbles including the categories above, they have also funded unsustainable (and irrational in the longer term) entrants into industries ranging from energy to insurance. This is another harmful consequence of this interest policy. That is the destruction of industry returns by speculative participants, which will impact the ability to invest in capital and labour.