Square Mile: Do US equities still give bang for your buck?

US equities: Bang for your buck?

Over the past 12 months, the US equity market has delivered impressive returns which, for sterling-based investors, have been enhanced by the strength of the US dollar.

For the year to end February 2015, the S&P 500 returned 14.8% in US dollars; in sterling terms, this equated to 24.5%. The strength of the dollar has benefitted a number of strategies - including within the UK equities space.  For example, Robin Geffen's Neptune Income fund has profited from a preference to stocks that generate the bulk of their profits in dollars. International competition Equity markets in Europe and Japan have also been buoyant, a number of managers we have recently interviewed have commented that mid- and small-cap US firms are noticing increased competition fro...