Equity markets represent an opportunity for investors say experts

EQUITY markets might be strong but still represent a great opportunity for investors according to a trio of investment experts.
 
Business leaders and entrepreneurs heard the views of Peter Heckingbottom of Pearson Jones plc, which manages £1bn of investments for primarily Yorkshire clients; Teun Draaisma managing director and global equities macro strategist at BlackRock, which manages $3.8 trillion of investments globally; and Dave Fishwick, head of macro and equities investment at M&G Investments, which has £242bn of investments in the UK and Europe.
 
With interest rates expected to remain low for some time, the audience at the Heavyweight Investment Debate at the Leeds Club, were told by Mr Heckingbottom, investment director and deputy managing director of award-winning independent financial advisers Pearson Jones that, based on price-earnings ratios, it was not the best or worst, but a “fair” time to invest in equities.
 
He pointed to UK smaller companies as a good opportunity. “Global groups have never had as much cash on their balance sheets to invest in merger and acquisition activity,” he said as well as pointing to Japan as a market which has “positive places to go”.

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Mr Draaisma, who warned investors to sell equities in June 2007 before the global economic crash, said: “Equities are priced for below average returns, but this is a transition year.

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“Equities have already gone up by more than 100% in the last five years. The European equity market, including the UK, has never been cheaper, compared to the US. There is still more to go from the low point of summer 2012 with the crisis in Greece.”
 
Dave Fishwick told the audience: “We have just been through a phase of incredible trauma. Nothing has looked normal. Companies are grabbing the highest share of profits that they can. I think firms will continue to do well.”

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