Parts of equity market are attractively valued and offer good returns

Jeremy Thomas is manager of the Allianz RCM UK Growth fund......

The debt crisis in Europe, debt ceiling impasse in the US, regulation of the banking system and rebalancing of growth from infrastructure to domestic consumer demand in China all have great bearing on the investment choices UK managers make today. In some cases the outcomes are binary, which raises uncertainty, particularly when there is no consensus on the right way forward. Against this backdrop, economic data has been disappointing relative to expectations across the world. In the West, deleveraging is producing a sub-par recovery from this recession. In developing markets, over...