Lord Rothschild shuns the US to plough cash into the Eurozone

 
Michael Bow
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Lord Rothschild founded RIT Capital in the 1960s
LORD Rothschild yesterday said ditching US companies in favour of Japanese and Eurozone investments had improved his investment trust’s value by £125m.

RIT Capital Partners, Rothschild’s listed vehicle, said the portfolio rose five per cent for the six months to the end of June thanks to a reduction in dollar investments. However, the 79-year-old warned the end of cheap money and low rates could pose problems.

“The question now is whether stock market values are sustainable as interest rates rise and quantitative easing tails off,” Rothschild said.

Dollar investments accounted for half of the RIT portfolio, down from 67 per cent at the end of December.