F&C fund launch turns attention to stockpicking

clock

Phil Doel, newly-joined fund manager at Foreign & Colonial Asset Management, says expected lower equity returns over the next 20 years will be a major driver of stockpicking strategies again coming to the fore in asset management.

Explaining the thinking behind F&C's UK Opportunities fund launch Doel suggests stockpicking is likely to see renewed momentum over the coming years, as the ability to generate sufficient returns by closely following an index of stocks will not be enough in a period where equities are expected to return 5.3% on average. Doel says this makes stockpicking “critical”, compared with recent focus on asset allocation. F&C’s calculations suggest equity returned on average 9.4% in the 1984-2004 period – even including the worst bear market since the mid-1970s. Although admitting a strategy of ...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Infrastructure: A good investment gone bad – and then good again?

Infrastructure: A good investment gone bad – and then good again?

'Infrastructure - a victim of a unique set of circumstances'

Darius McDermott
clock 02 May 2024 • 5 min read
Investment opportunities 'differ by client age group'

Investment opportunities 'differ by client age group'

‘Advisers should consider personal circumstances when it comes to investment’

Isabel Baxter
clock 02 May 2024 • 1 min read
Future of Investment Festival: Our specialist sessions for advisers

Future of Investment Festival: Our specialist sessions for advisers

Future-proofing advice, building sustainable portfolios, all things SDR

Professional Adviser
clock 02 May 2024 • 2 min read