UBS: 15 'defensives at a reasonable price' for these markets

MARKET WOBBLES

The return of Greek political risk should lead European equity investors to consider "defensives at a reasonable price", according to the global equity research team at UBS.

Having suggested last month it was too soon too shift back to an aggressive cyclical stance, UBS said the uncertainty surrounding the Greek elections - which left no clear victor and again raised doubts over the country's future in the euro - presented an opportunity to revisit its defensive selections. Recommending a barbell stock selection process, the investment bank added that favouring a low beta portfolio - which underperforms in an upswing by less than the outperformance it provides during market corrections - can prove to be an optimal strategy over time. The research team not...