De Blonay, who is joining Henderson, says the market for asset managers looks favourable as they are not as capital-intensive as banks and have no toxic assets.
He says: “Concentration in the asset management industry is relatively low, both globally and in the UK. In 2007, for example, the top 20 companies globally accounted for only 37.5 per cent of assets under management. Given the current pressure on revenues, consolidation within the sector is gathering momentum and this should be positive for earnings’ estimates.”
De Blonay also believes it is important for investors not to view financials as a homogenous group, saying that while banks have struggled, others, such as the reinsurance industry, have not been as badly affected.
Director of UK property Marcus Langlands Pearse says investors should start to look to property funds as an income option.
He says: “With the yield on our property fund now stable at around 5.91 per cent, investors should be looking to that as an opportunity, given the amount of yield cuts expected in the market.”