New Star's Sheridan predicts European value resurgence

New Star Europe manager Nick Sheridan believes the hard times are over for value-style investors. ...

New Star Europe manager Nick Sheridan believes the hard times are over for value-style investors. The manager of the £30m New Star European Value fund said growth investors will lose out when valuation disparities reach extremes. “Value investing performed broadly in line with growth investing from January to July last year,” he said. “As uncertainty and recession fears grew, however, earnings prospects were called into question and this resulted in losses for value stocks from the middle of last year onwards.” Sheridan’s fund has returned a third-quartile -1.2% over one year as at 1...