Equities will bottom next year, says New Star

The stock market could bottom out in the UK later next year and signify investment opportunities in ...

The stock market could bottom out in the UK later next year and signify investment opportunities in equities again ahead of a recovery, according to the New Star Global Equity Fund. Manager Hitesh Thakrar bases his observation on the fact that stock market and economic cycles do not necessarily 'move in step'. He said these cycles may follow a simple cause an effect pattern - declining company earnings leading to declining share prices and vice versa - at the start of a recession. In the medium to long term, however, stock markets look to the future. "If investors perceive a company w...