Simon Edelsten quoted in Interactive Investor’s ‘Is ‘unfashionable’ market now a place for investors to shop?’

Fund managers specialising in European stocks…believe it will be possible to pick a winning path through the current volatility and uncertainty.

…

David Walton, manager of the IFSL Marlborough European Special Situations fund, a smaller companies specialist, points out that “there are always opportunities to be found on a business-by-business basis”.

He adds that smaller businesses tend to be more domestically focused, and therefore less exposed to tariffs. “Many of these companies face little or no competition – either from within Europe or from the US,” says Walton.

Simon Edelsten, chief investment officer and fund manager at Goshawk Asset Management, is looking for similar opportunities. Valuations remain attractive in Europe, he reiterates, particularly in comparison to US technology stocks, and spending in countries such as Germany on defence and infrastructure could drive continued outperformance from some sectors.

“Most European equity markets contain a number of medium-sized companies that are successful within Europe and will be less affected by tariffs,” Edelsten adds.

“Also, many financials fall outside the tariff regime. The prospects for these companies look fair if the EU ends up trading more openly with itself and not so much with the US.”

 

Read the full article here.

 

This research material is for distribution only to Professional and eligible counterparties as defined by the FCA and also to persons of a kind to whom it may lawfully be promoted by an authorised person by virtue of Section 238(5) of the Financial Services and Markets Act 2000, the Financial Services and Markets Act 2000 (Exemption) Order 2001 and COBS 4.12.4R. and should not be relied upon by any other persons. Therefore circulation of this research material must be restricted accordingly.

This material is provided for information purposes only and does not constitute a solicitation in any jurisdiction in which such solicitation is unlawful or to any person to whom it is unlawful. Moreover, it neither constitutes an offer to enter into an investment agreement with the recipient of this document nor an invitation to respond to it by making an offer to enter into an investment agreement. This research material may contain forward-looking information that is not purely historical in nature. Such information may include, among other things, projections, forecasts, estimates of yields or returns, and proposed or expected portfolio composition.

Moreover, certain historical performance information other investment vehicles or composite accounts included in this material and such performance information is presented by way of example only. No representation is made that the performance presented will be achieved, or that every assumption made in achieving, calculating or presenting either the forward-looking information or the historical performance information herein has been considered or stated in preparing this material. Any changes to assumptions that may have been made in preparing this material could have a material impact on the investment returns that are presented herein by way of example.

This material is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. The opinions expressed are as of October 2024 and may change as subsequent conditions vary. The information and opinions contained in this research material are derived from non-proprietary sources deemed by the Firm to be reliable, are not necessarily all inclusive and are not guaranteed as to accuracy. There is no guarantee that any forecasts made will come to pass. Reliance upon information in this material is at the sole discretion of the reader. Past performance is not indicative of future results. The value of your investment may go down as well as up, and you may not receive upon redemption the full amount of your original investment.

The Investment Manager is authorised and regulated by the Financial Conduct Authority and registered in England and Wales (Company Number: OC304213). Its registered office address is 6 Stratton Street, Mayfair, London W1J 8LD United Kingdom.