UK All Companies funds suffered a difficult 2010 - in sales terms, at least - with the peer group revealed as the industry's least popular sector in February-April, September and October.
Royal London's Bradley Mitchell says there is no foundation for the view the UK will enter a double-dip recession.
Royal London has scaled back its UK earnings forecast, following the BP oil spill, though it believes UK equities look attractive over the longer term.
Asset backed securities (ABS) are presently the most attractive section of the corporate bond market, according to Royal London's Sajiv Vaid.