BlackRock's Alister Hibbert says appealing valuations, robust corporate earnings and positive macro surprises may transform apprehension into an entry point to an under-owned asset. class.
European equity markets can produce strong returns in 2011. While the peripheral debt concerns in the region have not subsided, much of the potential downside associated with a peripheral default is reflected in valuations. It is important to recognise these regions make up only a small part of the European economy and a smaller part of the Europe ex UK stock market. While we anticipate some volatility, we are encouraged by the fundamental corporate strength we see in Europe at present. In our view, the eurozone will survive despite the current volatility of peripheral nations, and sh...
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