Troy's Lyon: A bad time to buy shares as prices hit 2007 highs

Troy Asset Management's Sebastian Lyon has advised investors not to buy equities now, as stock valuations are stretched to 2007 levels.

The manager of the £2.2bn Troy Trojan fund said in July, eight of the fund's core holdings hit new peaks in terms of their valuations.  Altria, BAT, Colgate-Palmolive, Diageo, Nestlé, Philip Morris, Reynolds American and Unilever all saw their share prices spike over the month as investors scrambled to find quality equity yield, Lyon said.  "Valuations, in these stocks, have now been stretched to levels we have not witnessed since late 2007 - not a good time to invest in the stock market. "From here there is greater (temporary) downside risk, which explains our reluctance to increa...