RWC's Lance: UK equity valuations 'back to the 90s'

Manager seeing investment opportunities

Ian Lance, RWC Partners

Ian Lance, RWC Partners

The valuation of UK equities has dropped "back to the 90s", driven by negative sentiment and foreign investors moving money out of the country, according to RWC Partners' manager Ian Lance.

Lance, who runs the TM RWC UK Equity Income fund alongside Nick Purves, said the "dislocations" in the UK market are making valuations look attractive versus other regions and therefore presenting buying opportunities. UK equity funds has suffered ongoing outflows since the beginning of 2016 as a result of the EU referendum and its aftermath, amounting to a total of £13.2bn to the end of Q1 2019, according to data from the Investment Association. Fund outflows slow in May but alternatives still out of favour Lance said: "The dislocations in the market today are as extreme as we hav...

To continue reading this article...

Join Investment Week

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now


Already an Investment Week


More on UK

Amazon shares are down 40% from its peak

Growth stock pickers feel like 'a kid in a candy shop'

'It is time to go shopping'

clock 22 June 2022 • 4 min read
30% increase in the number of clean tech deals.

UK smaller business investment jumps to record £18.1bn in 2021

UK tech investment doubled to £8.2bn

clock 21 June 2022 • 2 min read
Markets are generally positive in months with rate rises

Rate hikes could have 'benign' impact on equities

Follows Fed 75bps hike

clock 20 June 2022 • 1 min read