Miton's Callow picks five stocks to ride a UK equity rally

Simon Callow has opened five new positions in the CF Miton Diversified Growth fund which he thinks will perform strongly as the UK equity market breaks out into a higher trading range.

He has taken the fund overweight equities, with a strong bias towards the UK, Europe, Asia and emerging markets. “Not only does the UK equity market appear to be ‘breaking out’ to the upside, having been rangebound for the best part of three years, but so do other equity markets such as in Europe and Asia,” the manager said. “While technical in nature, we believe there are fundamental reasons as to why these ‘breakouts’ are occurring. Namely, tail risk has been reduced, as a result of central bank and political intervention, while, at the same time, financial repression is slowly forc...