You're missing the point. They've had and continue to keep 20% of the assets in cash. They've missed the bull market over the last 4 to 5 years with that $. And how do you know the market is going to roll over? You could be right, and you might be mistaken. They aren't keeping it in cash because they think the market is going to roll, they keep it there permanently...its how they've set up the fund. I think they could get away with 5 to 10 percent in cash.
I was not referring to their strategy. I was just referring to the fact that equities look very risky right now. And if you consider the kinds of stocks this fund holds, having some cash to offset that risk does not seems like such a bad idea. The thing that worries me is a simultaneous drop in the world stock markets *and* a huge drop in USD/EUR. That is why I mentioned it would be interesting if they put some of that money in European bonds, etc.