Morningstar's five unloved investment opportunities

Improving portfolio diversification

clock • 5 min read

Dan Kemp, CIO of EMEA at Morningstar Investment Management, explores the current investment landscape and outlines five areas of opportunity for long-term investors seeking portfolio diversification

1. UK multinational companies (FTSE 100) Kemp says UK investors are being forced to contemplate some "incredibly difficult decisions" right now.  He explains: "With Brexit considered to be a major fundamental risk, nervousness has taken hold and outflows are mounting. In this regard, speculation and volatility are a valuation-driven investor's friends.  "The first thing to acknowledge is that the UK economy is not the UK equity market. For example, approximately 70% of the  FTSE 100's earnings come from overseas, and one must appreciate that the fundamentals of corporate Britain...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Equities

Making sense of the great UK equity sell-off

Making sense of the great UK equity sell-off

Ongoing M&A activity proves alluring for some buyers

Darius McDermott
clock 31 January 2025 • 5 min read
Why investing in Asia is the real deal

Why investing in Asia is the real deal

Accumulating as much insight as possible

Gabriel Sacks
clock 31 January 2025 • 5 min read
Equity investing – is it still all about the US?

Equity investing – is it still all about the US?

Investors ignore the US at their peril

Hoshang Daroga
clock 29 January 2025 • 5 min read