View more on these topics

&#39Kerry win could stall US economy&#39

A Democrat victory in November&#39s US election could stall the North American economy, with wider repercussions for world markets, warns Gartmore fund manager Marcus Brookes.

Brookes, deputy of Gartmore&#39s multi-manager operation, told PIMS delegates that a victory for Democrat John Kerry would see the Republicans&#39 programme of tax cuts put on hold, slowing down consumer demand in the US and hitting the world economy.

Brookes said performance in Europe was likely to be lacklustre. He said UK performance will be steady, with no serious concerns about the high levels of debt among UK consumers.

Brookes expects the best growth to occur in Far East including Japan and he does not fear a repeat of the currency problems of the 1990s as foreign reserves were now far stronger than 10 years ago.

He added that given the choice, his funds would hold no bonds but he is forced to include the asset class because of regulatory restrictions.

Brookes said: “There are issues in the US – we are worried about their deficit and the potential that they will raise interest rates and if Kerry gets in, then consumer spending will slow down.

“We like the Far East and Japan in particular. Corporate Asia has learnt the mistakes of the past and corporate governance is getting better.”

Recommended

QYX BBR + 2.69% spells Pink

PINK HOME LOANS BM Solutions QYX BBR + 2.69% Type: Adverse credit base rate tracker mortgage Tracker term: Two years Tracker rate: 2.69% above Bank of England base rate Payable rate: 7.19% Minimum loan: £2,001 Maximum loan: Up to 95% of valuation subject to a maximum of £150,000, up to 90% of valuation subject to […]

West Bromwich Building Society – Introducer Exclusive Remortgage: 1.7% Discount for Two Years

Type: Discounted-rate remortgage product Discounted term: Two years Discount: 1.7% Payable rate: 4.6% Minimum loan: £25,001 Maximum loan: Up to 75% of valuation subject to a maximum of £500,000 Income multiples: Up to 3.75 times principal income plus second or three times joint Conditions: Free legal fees, free valuation subject to £350 maximum, free Mig […]

&#39Wrap will let IFAs shift to wholesale prices&#39

Wrap will enable IFAs to switch their clients from retail fund prices to wholesale fund prices, according to industry expert Paul Bradshaw. Speaking at the PIMS conference last week, Bradshaw said wrap would let asset managers reduce their costs, opening up the possibility of shifting from retail prices at 100 basis points to wholesale prices […]

Critical cover for children

Childhood illness and disability is a very emotive issue. All of us would rather not think about what could happen and parents rarely want to plan for the consequences of something happening for fear of somehow making it more likely to occur. However the impact of a child being diagnosed with a critical illness would […]

Artemis Global Income: favouring Europe over the US

With a 10 per cent return from his Global Income Fund in the first three months of 2015, Jacob de Tusch-Lec talks to journalist Alexis Xydias about the drivers and why he favours Europe and Asia over the US. Jacob believes European companies remain cheap and is still finding opportunities amid value stocks – in contrast […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com