SIG adds JPM financials fund to Global Dynamic

The move increases SIG's weighting in financial stocks in the most liquid part of the Skandia Global Dynamic Equity fund portfolio.

Portfolio manager Ryan Hughes says financials are significantly out of favour across the asset management industry but are cheap on a relative and absolute basis.

"In our view, the financials are benefiting from the very steep yield curves around the world, meaning that they are making lots of money from traditional banking - borrowing short and lending long - and this is going a very long way to repairing their damaged balance sheets," Hughes says.

"While some are concerned about the increased levels of regulation heading the banks' way we believe much of this is already factored into the price."

The Skandia Global Dynamic Equity fund was launched in March 2009 as a single solution for investors seeking to gain exposure to global equities.

Categories: Global

Tags: Skandia