View more on these topics

Thames River backing equities

Thames River Multi-Capital is wary of last year’s best-performing sectors.

The firm highlights the gulf between returns last year from gilts and global emerging markets. In the year to December 30, 2011, the IMA global emerging markets sector lost 19.2 per cent. The IMA UK gilt and IMA UK index-linked gilt sectors were up by 15.3 per cent and 21.8 per cent respectively over the same period.

Thames River believes this is unlikely to be repeated this year and warns against making investment decisions based on the past performance of a sector or asset class. In general, the team favours equities and thinks traditional safe havens may no longer be safe havens.

Co-head of multi-manager Gary Potter says: “We are broadly pro-equities. We look at what we pay for assets and what we might get back and, on that basis, equities look attractive.

“We are not calling the end of the gilt market, just that there is no value left so investors should look at other assets. Equities look to provide the best total return but investors have to be able to take the rough with the smooth.”

Recommended

Software firms pledge to meet deadline

Software companies designing products to help firms comply with auto-enrolment rules have told The Pensions Regulator they will be ready for the start of the scheme later this year. In December, TPR executive director for employer compliance Charles Counsell wrote an open letter to software companies, warning that although some employers had started looking for […]

2

Ministers advised to increase proposed £35,000 LTC cap

A report by a Department of Health working group has recommended almost doubling the proposed the £35,000 cap on an individual’s long-term care costs, according to the Daily Telegraph. The Dilnot commission’s report, published in July, calls for a cap on individuals’ lifetime contributions to social care costs of between £25,000 and £50,000, with £35,000 […]

AWD appoints private client advice manager

AWD Chase de Vere has appointed Paul Fox as private client advice manager for the north. Fox will be accountable for the delivery of AWD advice in its Birmingham, Glasgow, Leeds, Manchester, Newcastle and Preston offices. He will also take responsibility for business quality standards, adviser relationships and recruitment. Fox was most recently LEBC director […]

Solving the income puzzle

There is a puzzle at the centre of financial markets. The global economy is growing, there are signs of inflation and interest rates are going up, yet yields remain low. In this article, James Foster, manager of the Artemis Monthly Distribution fund, unpicks this conundrum and looks at where investors can find income. There is […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment