Weak outlook spells opportunity for discerning investors

Fund managers highlight the key role of cash in times of weaker markets in order to capitalise quickly on emerging value opportunities

Fund managers will need to retain cash to benefit from value stocks in a weak global economy this year, according to Merrill Lynch. The group's Global Wealth Management CIO Gary Dugan also predicts developed market equities will outshine emerging markets this year, and that gold and oil prices will slide from the record levels seen in recent weeks. He believes there are select stock opportunities available to the discerning investor despite a broadly negative outlook for the slowing global economy. "Many opportunities will arise from picking undervalued assets that have already discou...