Optimism returns to European fund heads

Manager sentiment is back to pre-Armageddon levels

European fund managers believe the worst of the recession is over, according to a global investment strategist. Gary Baker, co-head of international investment strategy at Banc of America Securities-Merrill Lynch Research, says sentiment among managers has turned rapidly from an Armageddon stance rife in the markets just three months ago. "All sentiment indicates the situation is stabilising. That is not to say we are coming out with huge growth or getting overly excited but we are seeing a normalisation in the markets," says Baker. The latest monthly survey of 220 managers worldwide ...