FTSE 250 companies set to perform well through 2004

The UK market is currently benefiting from sector rotation, with last year's laggard areas beginning...

The UK market is currently benefiting from sector rotation, with last year's laggard areas beginning to perform well, according to David Stevenson, manager of SVM's UK Opportunities fund. He is confident mid-caps will continue to do well and deliver strong returns throughout 2004, although last year's performance is unlikely to be replicated. A major reason behind this potential outperformance, he added, is that mid-cap stocks are largely focused on the domestic economy, which reduces currency risk. He said based on P/E ratios, FTSE 250 companies were not yet expensive and have further...