Funds to ride a post-election bank rally

Bank shares were clear winners in the days following the Conservatives' shock election win, and fund managers predict they have further to run. Investment Week lists funds positioned for a further rally in bank shares.

Henry Dixon, manager of the GLG UK Income fund and Jupiter's Steve Davies, who runs the Undervalued Assets and UK Growth funds, have said, despite a slight retreat in share prices since the post-election bounce, the banks will continue to perform well. They noted the risk of a Labour-led government with its promises of an increase to the tax levy and "more combative" regulation has been removed, while the Tories are more likely draw a line under bank fines. Dixon said: "The real winners from the election result are the banks, which we as investors can now look at in a much more favourabl...