Central bank policies leave investment opportunities scarce

ON UK INCOME

RWC's Ian Lance says leading central banks have succeeded in driving up nearly all asset classes.

Current investment opportunities are scarce as the monetary policies of leading central banks have accomplished their mission of driving up nearly all asset classes. With an increase in inflation now looking a possibility, bonds yielding 3%-4% look extremely unattractive, many commodity prices are at all-time highs and property prices have not fallen back to realistic levels. The best that can be said for equities is that they look good value relative to these other, more overvalued asset classes, but they still look expensive against their own history when using long-term measures su...