Why 2012 will not be like 2011

MARKETS

Investor fears over a repeat of 2011's investment scenario in 2012 are unfounded, said Keith Wade, chief economist at Schroders.

Although the rapid escalation of the oil price is reminiscent of last year's crash, investors' cautious approach will help markets better withstand potential headwinds, he said. ""There are concerns that 2012 is shaping up to be a repeat of last year when increasing optimism about the world economy in the first quarter had evaporated by the middle of the year, bringing a sharp decline in equity markets. However, there are some key differences," said Wade. "Investors and economists are cautious, probably a better basis for the markets to withstand whatever the world economy has in stor...