EUROPE - Some 63% of fund managers believe that European markets will not face the same accounting scandals - or cases of ‘Enronitis' - that have rocked corporate America, according to research company Morningstar Europe.
For its latest data the company surveyed 58 fund management groups, representing EUR49bn assets under management.
But despite the optimism Morningstar’s Niklas Tell said: The question is whether this is only wishful thinking. If so, it is only a matter of time before Europe faces a painful adjustment.
Other findings included 55% of respondents expected the global stock market, as measured by the MSCI World index in euros, to be at least 10% higher in a year's time. And 90% said that equity funds would be the best performers over the next 12 months. Asia remained the favoured region, and financial services the preferred sector.
But many commentators still urged investors to lower their expectations of stockmarket returns over the next five years. Many expected average annual returns of 5% in the US market compared with a historical average of 10% in nominal terms.
By Madhu Kalia
The British Medical Association (BMA) has warned chancellor Philip Hammond to reform the NHS pension scheme rules or doctors will reduce their working hours.
The lifetime allowance should be scrapped and replaced with a lower annual allowance, last week's Pensions Buzz respondents said.
Action for Children Pension Fund has outsourced its pensions administration to Trafalgar House.