View more on these topics

Technology set for upturn, say fund managers

Polar Capital director Brian Ashford-Russell says technology is within 18 months of an upturn.

New Star select opportunities manager Patrick Ever- shed has increased his fund’s technology weighting to up to 40 per cent.

Retail investors lost huge amounts of money when the technology bubble burst in March 2000. Ashford-Russell says he understands investors are disillusioned but taking a dispassionate view is the best way to make money and the five-year bear market is soon to be replaced by an extended period of outperformance.

He recommends investors to use regular savings to access potential returns rather than trying to time the market.

Evershed, who won plaudits for reducing technology exposure at the height of the market, says he has increased his fund’s exposure to between 30 and 40 per cent over the last two years and sees “very, very good opportunities” in technology over the next year.

Evershed says: “There are a phenomenal number of really good quality technol- ogy stocks coming to market. Investing in the right stocks could see a doubling or tripling in value in two or three years. I am in technology because I think this is where the money is to be made.”

Ashford-Russell says: “People associate a technology bull market with 1999 but that was the bubble at the end.

“However, we are talking about a return to 1990, when valuations were rising modestly but earnings grew exponentially faster.”

Recommended

Ethical Mortage Solutions winds up business

Ethical Mortgage Solutions is to be voluntarily wound upfollowing a difficult period of trading since M-Day.Market conditions have meant that the original business model has been difficult to sustain and the response to marketing has been less than expected.But franchisees of Ethical are forming a new business entity together.EMS founder Steve Royal says: “Like all […]

Friends Provident sees strong pension sales growth

Friends Provident saw total life and pensions business rise 33 per cent in the first half of 2005 but says the market is difficult to call in the run up to A day.Total life and pensions new business weighed in at 282m on an APE basis, up from 212m in the first half of last […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment