Lansdowne Partners' Jonathon Regis: Opportunities in Europe amid a new world order

Banks and building materials

The growth drivers of this decade are shifting in obvious ways: capital expenditure is rising, supply chains are being rebuilt and demand for materials is set to soar.

Yet, investors have been largely fixated on a handful of technology companies when real opportunities lie elsewhere. Even if the conventional narrative of sluggish growth with uninspiring political leadership in Europe and strong investment in the US continues, such opportunities could generate positive returns. That said, any reversal of recent conditions would boost returns with companies that are operationally geared and at extreme starting valuations. Opportunity in banks One of our highest-conviction ideas at the moment is UK and Irish banks. There are two basic truths of...