View more on these topics

Schroders’ Buxton says being positive can pay off

Richard Buxton
Buxton: ’Consensus is not always wrong’

Schroders UK equity fund manager Richard Buxton has rejected criticism that fund managers always issue positive outlooks, saying sometimes the market consensus is actually right.

Buxton, who has predicted the FTSE 100 will rise by 25 per cent in 2011 in several statements in recent weeks, was speaking at last week’s Joint Investment Forum hosted by Schroders, M&G, BNY Mellon and Gartmore.

He said: “It is not the case that all fund managers are positive, there are some incredibly negative fund managers out there and good luck to them.

“We have made gains of about 7 per cent already this year and even most investment bank strategists are saying we can make 18 per cent this year.

“The consensus is not always wrong and we could still have a reasonable year.”

Buxton says a lot of equity investors are nervous, as they have been forced into the asset class due to the fact that cash and government bonds are delivering lacklustre returns.

He is standing by his bullish views for 2011 on his £2.3bn Schroder UK alpha plus fund.

Buxton says the biggest risks to his positive outlook are a sudden hike in interest rates in the UK, a surprise slip back into recession or a reverse of the recent improvements in the US labour market.


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