Investors cheer Draghi but fund groups ready Grexit plans

UK asset managers are readying their contingency plans to cope with a possible ‘Grexit' as the beleaguered economy returns to the spotlight, despite ECB president Mario Draghi providing a boost for European markets last week.

Draghi unveiled details of a potentially limitless bond-buying scheme, announcing “outright monetary transactions” (OMTs) that would buy bailed-out eurozone nations’ short-dated government debt. Equity and bond markets rallied on the news but the end of the week saw Greece, whose inability to access the sovereign bond market means it cannot participate in the OMT programme, back at the top of the European agenda. Inspectors from the ECB, the International Monetary Fund (IMF) and the European Commission returned to the country on Friday to assess its progress in implementing the latest...