Managers turn back to retailers after Woolworths and MFI administrations

Managers are reducing historic underweight positions in the distressed retail sector, targeting cash-...

Managers are reducing historic underweight positions in the distressed retail sector, targeting cash-rich high street names seen as the most likely survivors into a potentially M&A-strewn 2009. Sentiment in the UK consumer sector, which has long been an underweight for most UK managers, hit another low last week with both Woolworths and MFI being placed into administration. Electronics-retailer also DSG scrapped its dividend after reporting a £40.3m net loss. However, Justin Jordan, manager of Credit Suisse UK Mid 250 fund, has been adding to positions in household names as valuations beco...