Will the FTSE stay range-bound in 2015?

The UK equity market remains range-bound. In 2014, the FTSE 100 started the year at 6,749 and ended the year at 6,566.

There are reasons to expect 2015 will be another tough year for the wider market, as consensus earnings forecasts appear over-optimistic for a number of sectors, including mining and oil & gas. This will constrain progress of headline index levels. This environment will provide an excellent opportunity for active fund managers to outperform by taking a selective approach to sectors and stocks, and not allowing clients’ returns to swing around with the vicissitudes of the wider index. Economic stimulus One of the most important market themes is the collapse in oil prices. We view th...