Deep Dive: European names have clearer focus

Turbulent start to 2022

Baylee Wakefield, strategist, multi-asset and macro, at Aviva Investors, dives into European equities.

For many years, the distinguishing features of the European equity market have been their high sensitivity to global growth through the cyclical export sector; the influence of negative interest rates courtesy of the ECB; and their relative shortage of growth stocks. Though, more recently, regional differences in management of Covid-19 have become market factors in their own right. As several European nations lift Covid-19 restrictions, the shift from pandemic to endemic could start to become reality. Although hospital admissions in Europe are still growing, numbers are significantly bel...