Utility companies faring well in a volatile climate

Utilities have performed well in recent months, after lagging over the past few years, says Raj Shant, head of continental equities at Credit Suisse Asset Management. According to the FTSE World Series Index for the year to date, utilities stocks in Europe have outperformed general European stocks by 20% in local currency terms. Despite this, fears about the effects of deregulation have put off many investors from buying into these companies. Instead of proving investors right, the companies in the utilities sector have coped well with the issues surrounding deregulation and many have ...