Limited upside potential for automobile industry

For those fund managers worried about further falls in new economy stocks, the auto sector is looking cheap with little downside risk. Both Britannic and Investec Guinness Flight are buying into car manufacturers for this reason, although the two groups admit there is limited upside to go for. Philip Whittome, head of the Japan desk at Investec, has a 10.3% holding in Japan's auto and autoparts sector against a market weighting of 8.3%. Natasha Chetwynd, fund manager at Britannic, has come out of technology due to its high valuations and now has holdings in auto stocks such as Honda, Suz...