Fear-based vigilance will continue to drive worldwide recovery

ON ASSET ALLOCATION

Thames River's Paul Carne says there are plenty of reasons to be positive that appear to be going unnoticed or are being discounted.

2010 was another good year for equity markets following a strong 2009, although it does not necessarily feel this way. The IMA UK All Companies sector index is now up 53% over those two years, a figure one would have thought would have seen investors dancing in the street. Investors in emerging markets should be even happier, as their investments should be up around 91%. However, investors remain fearful – over a potential China hard landing, further eurozone crises, coordinated austerity measures, unemployment, inflation and deflation, to name the most prevalent. I cannot dismiss ...