Coffey finds value in growth plays

RLAM head of equities Jane Coffey has urged investors to avoid the current trend of overlooking growth stocks in favour of value.

The manager says although markets have returned to more normalised conditions following last year’s value rally, growth stocks are still trading at attractive prices. “The value stocks which have recovered are now priced on mid-cycle earnings, while with growth companies you are not paying much of a premium,” she says Coffey, who manages the £330m UK Equity trust, has recently added Hargreaves Lansdown, establishing a 0.8% holding. “The company has a very strong market position for Isas and Sipps and continues to show good earnings upgrades,” she says. “Although the Government’s...