Outlook 2022: UK equities City Talk The UK holds many mispriced opportunities for stockpickers. Pick-up in M&A activity is striking. Stock market fit for the future. Sue Noffke, Head of UK Equities: UK shares remain cheap because of the perceived significant political and economic risks of Brexit, which continue to linger and depress the valuation of the UK stock market. We [...]
Q&A: why are so many investors still ignoring the UK stock market? City Talk Q: Are UK shares cheap because they’re “old economy” businesses in the banking, oil and tobacco sectors? Bill Casey: When we speak to management teams of UK-listed businesses, many are pulling their hair out, complaining their shares are lowly “rated” compared to US and European-listed peers. They run good quality businesses which we don’t think have [...]
Shell and BP: why we’re hopeful for a sensible transition to renewables City Talk The devastating effects of unchecked global warming were laid bare by this week’s landmark report from the Intergovernmental Panel on Climate Change (IPCC). UN secretary-general António Guterres described the report’s findings as “a code red for humanity”. The world’s major energy companies were already on the front line of the climate change battle, but following this [...]
What does the Conservatives’ victory mean for the UK economy and markets? December 20, 2019 The large majority for Boris Johnson’s Conservative party sees the pound and UK shares react positively, as investors welcome greater clarity on the policy backdrop. The pound climbs against other major currencies and stock markets gain as the scale of the Conservative win removes policy uncertainty. Within UK equities, companies whose operations focus on the [...]
Who’s buying UK shares and what does it tell us? November 29, 2019 High demand for UK-quoted companies from large and experienced buyers suggests other investors may be overlooking an opportunity. Will a UK general election on 12 December help break the Brexit stalemate? Possibly, possibly not. The ongoing uncertainty means investors of almost every stripe remain cautious about buying UK equities (shares). I stress ‘almost’ because some [...]
Why as an investor I’m looking through Brexit fears September 24, 2019 Following the twists and turns in Westminster of the past few weeks I expect many more market participants will simply place UK equities in the “too difficult” basket. Anecdotal stories of overseas investors selling their last UK stocks could start doing the rounds again. Brexit and political uncertainty have been a drag on UK equities, [...]
Why UK-focused stocks look their cheapest in a decade March 19, 2018 Uncertainty about the country’s long-term relationship with the European Union, its biggest trading partner, has left many international investors nervous about investing in UK companies. One recent poll showed that UK stocks were the least popular asset class among global fund managers. I disagree. I can see bright spots in the UK stock market that [...]
