Schroder Investment Management is underweight equities in the belief stock markets look expensive, p...
Schroder Investment Management is underweight equities in the belief stock markets look expensive, particularly in the US. David Gasparro, head of the investment strategy unit at Schroders, told IFAs at its recent roadshow US equity valuations have reached P/E ratios of over 30 times in the recent bull run, compared with a P/E ratio of around 15 times in 1970. He added: "We have been in an era of very low interest rates and the message we get from bond yields is until recently the valuation of equities in the US was quite reasonable - they have not been overvalued for the whole period si...
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