Investors heed the broker’s wisdom
Life insurance consolidator Resolution was the biggest faller on the FTSE 100 this morning after Goldman Sachs cut its rating to a “sell”, saying it was “effectively a shrinking business with little chance of significant uplift to cash generation”. It took most of the morning for traders to buy back in, but Standard Life took yet longer, kicking back into the black only at 3pm following Goldman’s verdict that it was “dependent on an unattractive market”. Yet Old Mutual and the Pru gained 1.9 per cent and 2.7 per cent respectively after being bumped up to buy ratings.