View more on these topics

Income funds build up UK banks after European refinancing deal

UK equity income managers have been adding to bank stocks off the back of improved liquidity created by the European Central Bank’s long-term refinancing operations.

F&C fund manger Phil Doel, who runs the £206m UK equity income fund, sold some exposure to defensive stocks in the last three months and added to banks.

He has bought LloydsTSB as a new holding of just over 1 per cent and topped up his position in Standard Chartered from 2.5 per cent to 3.7 per cent.

Doel says: “I have taken exposure out of the more expensive consumer defensives where earnings downgfrades were starting to come through that were not priced in. The impact of the ECB’s long-term refinancing suggests a reduction of tail risk with the banking sector.”

BlackRock portfolio manager Adam Avigdori, who runs the £736m UK income fund, also sees an opportunity in banking stocks. He bought new positions in Standard Chartered at the end of last year and Barclays this year.

Investment Quorum chief investment officer Pete Lowman says he prefers UK equity income managers to have only a small exposure to banks. He says: “If they are exposed, I prefer it to be to banks such as HSBC and Standard Chartered which are less exposed to Europe.”



CML wants stamp duty holiday extended

The Council of Mortgage Lenders has called on the Government to extend the stamp duty holiday beyond March 24 in this month’s Budget. Chancellor George Osborne is set to give his Budget statement on March 21. In November’s autumn statement, he said there will be no extension to the stamp duty holiday as he does […]

Euro co-ordination review plan defeated

The Government has voted down a proposal that calls for a review of the way UK and European regulators work together during the first 12 months of the new regulatory structure. In a public bill committee meeting last week, a Labour amendment to the Financial Services Bill that would have mandated a Bank of England […]


Could the FSA learn a lesson from FIFA?

Well, no. Perhaps not. The idea of one of the most controversial organisations in sporting history teaching arguably one of the most incompetent regulators in the world a thing or two is a bizarre suggestion to say the least. But bear with me if you will. FIFA has been busy gathering statistics from its TMS […]

Protection take up falling, says Bright Grey

Around 20 million people would not be able to maintain their current lifestyle for longer than six months if they had to live off savings and yet the number of people with protection is falling, according to Bright Grey. This number is five times greater than the figure for 2010, when just four million people […]

A DGT with 100% access and 100% discount?

Clare Moffat, Technical Manager, looks at the benefits of pensions from an IHT perspective. 100% access and 100% discount – what type of wrapper could this be? A pension! Post flexibility there is 100% access (for those over 55) and normally pensions are inheritance tax (IHT) free. With flexibility the options available on death mean […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    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