Invesco reacts defensively to slowing of consumption

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Invesco Perpetual's UK fund managers are taking refuge in defensive stocks in expectation of slowing...

Invesco Perpetual's UK fund managers are taking refuge in defensive stocks in expectation of slowing consumption as individuals look to reduce their debt burdens. Nick Hamilton, product director at the group, said debt levels are moving towards unsustainable levels, with the low interest rates of recent years contributing towards the current asset bubble in the housing market. "To avoid the recession that should naturally have occurred after the technology bubble, governments across the world used unprecedented fiscal measures, cutting rates to decade lows, for example, to create the illu...