Jupiter UK equity manager Steve Davies believes investors will need to be "tactically nimble" to handle the fallout from next year's UK election.
Mining stocks weighed on the FTSE 100 index on Thursday, as the latest economic data pointed to a slowdown in China and the eurozone.
The UK's challenge to overthrow banking bonus cap plans has been rejected by the EU Court of Justice.
Shares in Royal Mail fell by more than 8% after the company reported a fall in profits amid rising fears over competition from online retailers.
Minutes released by the Bank of England's Monetary Policy Committee this morning revealed a more hawkish stance than investors expected, helping to lift the flagging UK currency.
Royal Mail suffered a 21% profit fall in the half year ending 28 September 2014, but beat analysts' expectations of a 30% drop.
Cazenove Capital Management's CIO Richard Jeffrey said the Bank of England should have raised interest raised this year instead of waiting for perfect economic conditions.
UK CPI inflation rose to at an annual rate of 1.3% in October, according to ONS figures released today.
Japan has dropped back into a recession, after GDP shrank for a second successive quarter.
Syz Asset Management, the group behind the Oyster funds range, is opening an office in Edinburgh in a further sign of its commitment to the UK.