QE

The €1trn in cheap loans provided by the ECB since December is expected to be only the start of a wave of liquidity measures that store up problems for the eurozone.

Quantitative easing will not lift the UK out of its economic slump, as monetary stimulus in a financial downturn is ‘like stuffing cash into a black hole', said Eden's Leigh Himsworth.

THE BIG QUESTION

Ecclesiastical's Robin Hepworth has warned gilts are ‘in a bubble' and should be avoided by investors looking for returns over the medium term.

Kevin McConnell, manager of Bloxham's outperforming Midas Global Absolute Return fund, has warned many of the UK's absolute return vehicles are too correlated to equity markets.

PSigma's Bill Mott has warned earnings growth forecasts for UK companies are far too high, while equity markets have reached a peak and are set for a correction.

BONDS

PIMCO's Bill Gross has warned as US interest rates head towards zero, they could be a regressive influence on the economy and may kill rather than create credit.

Bond heavyweights have begun shorting UK gilts ahead of an expected correction, warning yields have reached ‘extreme' lows.

FUND MANAGER FOCUS