Bankers IT buys into ‘oversold' oil majors

Henderson Global Investors' £519m Bankers Investment Trust has boosted exposure to oil majors, taking the view the sector has been hit too hard in the downturn last month.

The global equity trust, headed up by Alex Crooke, has added 5% to oil majors by topping up positions in Shell, ENI and BP, which he believes have been “aggressively oversold”. “We were around 4% underweight in the oil space but we feel they have been aggressively oversold in the sell off, falling 20% despite the oil price not moving an inch,” said Crooke. “The majority of the cyclical stocks have fared badly over the past two months but I am optimistic the economic recovery will begin to pick up early next year. As a result cyclical stocks will recover from here.” Crooke takes ...