High valuations making US equities unattractive

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Despite the recent stock market corrections, US equities remain out of favour among asset allocators...

Despite the recent stock market corrections, US equities remain out of favour among asset allocators on the basis of their high valuations.. Bob Yerbury, chief investment officer at Invesco Perpetual, is significantly underweight the US in each of his three global portfolios. He says despite a number of tangible signs of economic recovery across the Atlantic, the recent spate of accounting scandals, such as those at WorldCom and Xerox, continues to depress equity prices. 'Economic indicators have shown further evidence of an economic upturn, Yerbury says. 'Durable goods orders grew by ...

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