Upside in property market as deflation comes to an end

As deflation comes to an end in Japan, managers have been positioning portfolios towards banking and property stocks. Invesco and Scottish Widows Investment Partnership (Swip) both have overweight positions in these sectors. Tony Roberts, a manager on the Invesco Japanese Equity fund, says: "The banking sector will be a beneficiary of inflation. For the past two months inflation has turned positive at around 0.1% and I expect the Bank of Japan to end its zero rate interest policy this year." One bank in Robert's top 10 is Sumitomo Mitsui Financial Group. He likes this company as it...