The best opportunity sets in US equities

Where to find good value across the pond

US equities have been a story of technology and growth outperformance and not much else in recent months and years - but that may be poised to change, writes Clare Hart, portfolio manager of the JPM US Equity Income fund.

The risk of a downturn still remains low, with little expectation of a US recession before 2020. Earnings growth should begin to slow down going into next year, but the outlook remains positive. Potential yield curve inversion is a consideration to monitor. Although the spread has come down between the US 10-year and 2-year yield curve, it is still possible for investors to achieve positive equity market returns. After all, some of the best gains can be had in the 12- to 24-month period before a recession.  The S&P 500 index is unlikely to fall off a cliff with a slight inversion. Inf...