Woodford IM's Lamacraft: Investors are complacent about market risks

The equity bull run is getting long in the tooth and managers are being complacent about the rising risks, argues Stephen Lamacraft from Woodford Investment Management.

The post-financial crisis investment landscape has been characterised by record low interest rates across the developed world, low and declining bond yields, and an increasingly frantic search for yield. Equity markets represent one of the last remaining sources of attractive income and, encouragingly, the UK is more attractively valued in yield terms than most other international stock markets. There is no alternative? This could be seen as a sound reason for optimism, but there are a few other reasons too. The acronym TINA has been used in recent months by sell-side strategists t...