Sector neutrality is key to market performance

Fund managers are turning over portfolios to achieve close to sector neutrality. The future of the U...

Fund managers are turning over portfolios to achieve close to sector neutrality. The future of the US market and economy is uncertain and managers are preferring to emphasise stock selection instead of sector selection. For the past three months Henderson Investors has been selling consumer cyclical holdings as it believes the economy will continue to slow. The group has also been increasing exposure in other sectors. Chris Galleymore, head of US equities at Henderson Investors, says: "We have increased our exposure in mid-cap growth stocks. For instance we have been bullish towards adver...