Premier's White: This year already feels tricky

Premier's head of UK equities, Chris White, is forecasting a difficult year for UK equity investors as valuations become increasingly stretched.

The manager of the Premier Income, Monthly Income, UK Growth and UK Mid 250 funds said with valuations starting the year near record levels, and profit warnings emerging, sentiment could switch. “Our funds enjoyed a strong finish at the end of 2013, but this year already feels tricky,” he said. “The FTSE 100 is approaching an all-time high and Fed tapering has been positively received by markets, but valuations have become very stretched and a few companies have issued profit warnings which investors are ignoring. You have to be very watchful as sentiment can change very quickly.” ...