Political concerns remain
Improving portfolio diversification
Cyber-security is an 'escalating threat'
Less scope for markets to get more expensive
Data from TrackInsight
European indices approaching historic peak levels
Could result in significant amount of disruption for markets
Difficulties remain while negotiating exit
Marking first anniversary of Article 50 being triggered
Headwind from euro strength should abate
Top-down macro research
Joined with 21 Partners
Euro a headwind
President proposed tariffs on steel
Since the end of 2007, European equities have underperformed US equities by 63% on a real total return basis (in local currency terms).
Hung parliament most likely result
Asymmetric risk for UK
European equity markets remain attractive to us. The combination of a solid macroeconomic backdrop outside the region and a strong recovery domestically has helped propel earnings higher.
Country goes to polls on 4 March
2017 was another bloodbath for the high street. In the UK alone, more than 8,000 stores closed and a handful of household names, such as Toys R Us, filed for bankruptcy.
Tilting portfolio towards value
2017 marked another strong year for European equities, with the MSCI Europe index providing a total return of 11% and the MSCI Europe ex-UK index providing a total return of 12% in euro terms.
At T. Rowe Price, we believe the European economy is enjoying strong fundamentals. Growth should continue in 2018, providing support for both equity and bond markets. But given lingering political risks, potentially tighter monetary policy and elevated...