Allwright issues new market crash warning

RWC Partners' Peter Allwright has warned UK markets are heading for another 2008-style crash as the country enters a new phase of deleveraging.

The RWC Enhanced Absolute Rate & Currency (ARC) manager said he is now steering clear of high-yield assets, warning the lack of liquidity in the market is “incredible”. “2011 is panning out like 2008. We are entering the next phase of deleveraging and the markets could potentially take a hit like they did in the autumn of 2008. “People have got it wrong for so long and the ability to take risk is shrinking,” he said. Allwright, who runs the Enhanced ARC and Cautious ARC funds with Stuart Frost, blames the government and regulators for the volatile market conditions, which imposed...