Fidelity's Shah warns equities at risk of 'significant' sell-off

clock

Fidelity Special Situations fund manager Sanjeev Shah has warned investors that equities are at risk of a significant pullback this year as valuations approach multi-year highs.

Shah, whose Special Situations fund is top quartile in the IMA UK All Companies sector over one year, said global equity markets are likely to retrench later in 2013. "Valuations are not as attractive as at the end of 2011, and although markets may climb the wall of worry for now, there will be a significant, and drawn out, period of consolidation in 2013," he said. Developed market equities in particular have risen sharply since the lows seen last summer. The FTSE 100 is now approaching its five-year high of 6,376, having climbed 20% since the low point last June to stand at 6,300...

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

Join now

 

Already an Investment Week
member?

Login

More on UK

Trustpilot