SLI says bull to global equities risk

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Fears of a possible end to the current strong growth in equity returns are being driven by "false signals" as a continued bullish nature towards global market should be expected in 2006, suggest Standard Life Investments strategists.

Commentaries produced by the investment house in its Q1 Global Outlook suggest while in the past investors would have seen a shift towards corporate spending, flattening bond yield curves and strong economic expansion as evidence of the market shifting from a bull to a bear market, this no longer reflect the true status of the equities sector and there is still some way to go before investors should consider the peak of the bull run to have been reached. Keith Skeoch, chief executive of SLI, points out UK equities have outperformed bonds “by a significant margin” and global equity markets...

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