FE Research and News

Greece is the word - opportune time to invest?

Thu 2 Jul, 2015 / by Tahmina Mannan

Greece is the word – it certainly has been over the past few weeks. Uncertainty over Greece’s future in the Eurozone has gripped the markets over the past few weeks, and no doubt will continue to do so long after the referendum. While the markets continue to experience volatility - could this present an entry point for investors? 

 

The troubles in the Mediterranean nation have been nothing but a headwind for investment portfolios - however for investors looking to put money to work, now could be an opportune time to wade in.

 

For those wanting to avoid European shares for the time being, but feeling rather bullish on the UK economy – Invesco Perpetual’s UK Aggressive fund, run by FE Alpha Manager Martin Walker, is one good option.

 

The £260m fund holds under 30 stocks on household names like BP, HSBC, Vodafone to name a few – with all stockpicks based on the manager’s best ideas. Walker likes to concentrate on the company rather than the economy – the fund’s excellent record since Walker took over the reins in 2012 highlights this method has paid off. The UK Aggressive fund has returned nearly 90% since December 2012, outperforming its sector by more than 25%.

 

Investors should note, however, that as this is a high-conviction position on the UK, the fund should ideally be held for at least seven years and buyers should have a stomach for volatility. The fund has considerable exposure to the oil & gas and the financial sector – so expect large price swings along the way.”

 

Tahmina Mannan

Written by Tahmina Mannan