Fidelity's Morse clashes with Cazenove's Rice on Nestlé

Fidelity European fund manager Sam Morse has clashed with peer Chris Rice at Cazenove over the outlook for key European stock Nestlé.

Morse, running the £2.3bn European fund, has an overweight to Nestlé compared to the MSCI Europe ex UK benchmark, with 7.9% of his fund invested in the stock. Morse (pictured) is 3% overweight compared to the benchmark in the food manufacturing giant, and it represents his largest position, despite a valuation other investors have said looks top heavy. The manager said the stock remains attractive despite a normalised P/E ratio of 18.3 times for the last fiscal year (according to Reuters). "I do not think Europe will see a renaissance in economic growth so I am underweight in perip...