Stock market excesses may delay recovery, says Buxton

Stock markets will not recover until all of the excesses of the late 1990s have been worked through the system and that could take some time yet, said Richard Buxton, head of the UK Specialist Team at Schroders. 'It takes time to unwind the excess, repair the damage, change the mindset of companies and investors and hence to create opportunities. Though it is possible to create a shorter downturn, you can't foreshorten the time it will take to repair the damage done,' he said. He regards the weakness of stock markets over the past six to eight weeks as part of the rebuilding process and...