UK/EUROPE - Fund managers are split on whether European equities will recover over the coming year.
Some believe Europe is heading for the weakest economic recovery outside of Japan, while others say a recovery in the US could trigger one on the Continent.
Isis head of European equities Davina Curling sees “little hope” of an imminent pick-up of European markets.
She said: “This is likely to remain a stock-pickers market and the only way to make progress at such times is by looking at companies on an individual basis and deciding how well their individual attributes serve them in the current environment.”
Threadneedle Investments head of international equities Dominic Rossie concurred. He said earnings assumptions in Europe were on the high side and were not set to come down.
“Our growth rate assumptions for Europe are low, we are in the 1.5% camp – below the current consensus.”
However, Govett Investment European strategy manager Peter Kysel saw reasons to assume recovery for Europe in the short-term.
“Europe will remain reliant on developments in the US.
“Looser fiscal policies being introduced in the US economy will create a better environment for equities.”
But this will not necessarily mean a better environment for bonds, he added.
The HSBC Bank UK Pension Scheme is to invest £250m in renewable energy infrastructure, such as solar plants and wind farms, with Greencoat Capital.
With Brexit talks breaking down late on Sunday night in Brussels over the Irish border, investors may be wondering how to best navigate the next few weeks and months. Our assessment is that a number of UK assets have already priced in a significant chance...
Pension freedoms could generate as much as £1.9bn a year in tax revenue for the next 10 years, according to research by the Pensions Policy Institute (PPI).
The Pension Protection Fund (PPF) has conceded it does not have "all the data we need to calculate" the impact of last month's ruling that some benefits may be unlawful.