Why global financials still offer value

ON SPECIALIST MARKETS

Jupiter's Guy de Blonay says times of transition create both risks and rewards.

The global economy is going through a process of deep structural change. China and other BRIC economies have become the engines of global growth. However, their success combined with stimulus measures in the West has created its own problem: inflation. Now the market is concerned steps taken to cool growth have gone too far. This has made for a treacherous investment landscape. As a facilitator of economic activity, the global financials sector has found the going tough. Since the first bailout of Greece in May last year, it has been unloved. There has been good reason to be cautious....