Neil Woodford is running his largest allocation to overseas stocks since 2013 as he begins management of his new UK equity income fund.
Tensions in Iraq prompted a spike in the oil price last month, but UK equity managers are torn over whether ‘supermajors' BP and Shell are the best way to play rising prices.
Neil Woodford has said some core UK equity income stocks could be hit by dividend cuts in the near future due to "very stressed" business models.
Oil major BP reported Q1 profits of $3.2bn, compared to $4.2bn in the first three months of 2013.
Invesco Perpetual's Martin Walker tells Dan Jones why now is the time to stick with insurers, and how the rich pickings across the equity market have dried up somewhat.
The FTSE 100 was down nearly 1% this morning, while gold was in the ascendency, as investors sold down BP amid the latest developments in Ukraine.