As the UK market approaches new highs, Alex Wright, portfolio manager of Fidelity Special Values Plc (LON:FSV), outlines why he remains optimistic about the prospects of the UK market. Even after strong returns seen over recent months, the UK remains cheap versus other markets and continues to offer attractive opportunities for value investors.
UK equities have outshone many developed market peers year to date, with the FTSE 100 recently hitting new highs of around 9,000 points. This marks a significant milestone in what many are beginning to recognise as a genuine revival in UK equities.
This outperformance comes against a backdrop where market consensus at the end of last year overwhelmingly expected US dominance to persist. Yet the exact opposite has occurred as US trade policy announcements and a reversal of the US exceptionalism narrative led to a weaker dollar. This reversal highlights the benefits of a contrarian…
