Concerns over UK consumers lead to market uncertainty

UK INCOME

Sovereign debt concern in the eurozone has dominated investors' thinking in recent times and seen the UK equity rally stall.

It has been a particularly difficult time for UK equity income investors with the much-publicised troubles of oil major BP, which accounts for approximately 12% of UK dividend payouts, also weighing heavily on the sector. More positively, the commercial environment is improving slowly for UK corporates and we still believe there is potential for some equity price momentum in the second half of the year. This is particularly true for those companies who earn revenues in faster-growing global markets. We still have concerns about the health of the UK consumer and seek investments with resi...