Companies in good shape despite unstable markets

ON ASSET ALLOCATION

Aberdeen Asset Management's Fiona Gillespie.....

Equity investors have endured a rollercoaster ride over the past 12 to 18 months and are feeling battered, bruised and bereft of confidence. The developed world economy is still in a fragile state. Much of the progress to date has been spurred by “artificial” spending emanating from the various fiscal packages announced last year. The concern is where demand comes from once those programmes fade. Overall, the profile of growth in developed economies is likely to be more subdued than we have seen in recent history. Global inflation is fairly contained and nominal growth anaemic, sugges...