Schroder UK Mid Cap (SCP) fund manager Jean Roche says the total shareholder yield from UK mid-cap stocks is 50% greater than the main US stock market index.
This is the third excerpt from our virtual event with Schroder UK Mid Cap.
Can’t watch now? Read the transcript
Jean Roche:
You can see, the FTSE 250 beating the S&P 500 and, also the FTSE 100 and the Euro Stoxx.
Why would we invest in the mid-250 now? I think here, you can see that on these sorts of valuations—and this might seem-, maybe you’ve seen this all before. The US valuation isn’t just high, it’s actually climbing out of the sunroof here. You can see that current dot there, that 22.5 times and probably, if we updated the graph every week, that dot keeps climbing up.
The point is that the FTSE 250 there, it’s sitting outside its normal range. It looks like a great opportunity and I think that view is probably vindicated by two bids in one day. You might…
