Woodford: Profit warnings will come thick and fast

Invesco Perpetual's Neil Woodford has said he expects profit warnings will come "thick and fast" in the near term after identifying them as a key risk to markets in the current environment.

The head of investment at Invesco Perpetual, who runs £20bn in income strategies, said although there are "valuation opportunities" in equities at present, he struggles to see markets moving out of their narrow range. "I think the environment at the moment is quite risky. The accumulation of weak economic data and downgrades across the world in terms of GDP is likely to be reflected in downgrades to profits and earnings. There is earnings risk in the market," said Woodford (pictured). "So stand by for more profit warnings. They are coming thick and fast. There is risk at the moment. T...