As attention turns to the summer’s biggest football tournament, Rathbones Asset Management head of multi-asset investments David Coombs has selected a World Cup-inspired fantasy XI to show how he is thinking about portfolio construction today.
From defensive ballast to attacking flair, each position represents a different role within a diversified multi-asset strategy.
David Coombs, head of multi-asset investments, Rathbones Asset Management says: “To manage a multi-asset fund, you need to be a generalist manager rather than a specialist coach. In other words, you always have to keep one eye on the downside. When markets are rising during a high-momentum bull run driven by excitement in one area, such as semiconductors, investors naturally focus on returns — or goals. If you can get 10%, 5% is no longer enough. They want to win 5–0: attack, attack, attack, rather than grind out a 1–0 result.”
“Our job is to make sure we do not lose 9–6. To do that, we need a diversified portfolio — or team — that captures some of the upside and keeps supporters happy, while still staying solid at the back when conditions become more difficult. That is what diversification is for. It has been out of favour since 2024, but that only makes it more important. Do not spend all your budget on expensive overseas luxury players; make sure you have high-quality defenders who will keep you in the game. It is about winning the league, not just the cup.”
Below is Coombs’ fantasy XI: a line-up that combines younger, higher-growth companies with more mature names that provide resilience and stability.
- Goalkeeper – 30-year gilt. Volatile and a little unconventional but when rates have to fall quickly, due to growth shock, it should keep you in the game. The only bond in the team.
- Right full-back – needs to be pacy, but still able to defend. Medtech is a sector that has broken down over the past 18 months, so it is now coming back from injury. It could outflank the market and help drive outperformance into 2027. Our preferred name is Stryker — appropriately enough.
- Left full-back – also needs to be pacy, defensively sound and left-sided. Renewable energy could benefit as governments respond to geopolitical tensions by diversifying the energy mix. It also taps into the AI power theme, while still offering a more defensive profile. One example is SSE.
- Right centre-back – a stopper; dependable and disciplined. We are thinking of consumer staples such as Coca-Cola suiting this position: consistently reliable, but with enough innovation to keep moving forward, including through its sugar-free offering.
- Left centre-back – a more cultured defender who can split the lines. L’Oréal fits the bill: polished and innovative, but also capable of digging in through its dependable skincare business.
- Defensive midfield – Thales. A fairly obvious choice, perhaps, but Europe needs to spend more on defence, and Thales also has a commercial aerospace business that could rally once tensions in the Middle East begin to ease.
- Right wing – a dribbler who brings something different and excites the crowd. Amer Sports, home to Salomon and Arc’teryx, plays into the high-end experience market. It is expensive, but undeniably stylish.
- Driving midfield general – Nvidia has to be in the side. It dominates and drives through the middle of the portfolio, is always first on the team sheet and supports those around it. It may slow down with age, but for now it remains central.
- Centre forward – the top scorer: expensive, talented and fully aware of it. TSMC continues to benefit from its number-one status and may keep adding to its valuation until an abrupt setback changes the story.
- Roving creative midfield – popping up everywhere near the box. Apple still looks well placed to benefit from AI, even if the route is not yet fully clear. If that view proves wrong, you make the substitution and turn to the bench.
- Left wing – unpredictable, then suddenly cutting inside and finding the top corner. Ulta Beauty is a volatile specialist retailer that can deliver strongly, even if it occasionally disappears for a spell. Frustrating at times, but still with clear X-factor.
- Substitute – SpaceX. A ludicrously expensive signing with a mixed bag of attributes, but one you may need to bring on late in the game to change the result.
While the line-up is intentionally light-hearted, the underlying message is serious: successful multi-asset investing depends on balance, discipline and knowing how each holding contributes to the wider team. In uncertain markets, diversification still matters.
