Prudential's head of portfolio management group John Betteridge explains why recent market turbulence should not be compared with the crisis of three years ago.
Financial markets have been extremely turbulent in the past week or so and the media is full of stories about the renewed financial crisis. While there are some similarities with the crisis of 2008, there are important differences. The share prices of financial stocks have been hit hard but so far, there is very little evidence of the sort of liquidity strains that beset the system three years ago. Central banks and regulators are much better prepared and can arguably act more decisively to alleviate any such strain. The credit markets have been much better behaved than in 2008, partl...
To continue reading this article...
Join Investment Week for free
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes