Investment trust managers bullish on information technology as top performing sector in 2024
Over a five-year horizon, 44% of fund managers said Information Technology would be the top performing sector.
Over a quarter (26%) of respondents picked the sector, followed by Industrials with 19% and Healthcare and Energy both at 15%.
Over a five-year horizon, 44% of fund managers said Information Technology would be the top performing sector over the next five years, followed by Energy and Healthcare at 19% and 15%, respectively.
In the coming year, the UK is anticipated to outperform other regions, as indicated by almost half of the respondents (44%), with the US (15%) following in second place and Japan (11%) in third.
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Looking ahead to the next five years, nearly a third of investment trust managers (30%) believe the UK will maintain its lead as the most attractive region, trailed by emerging markets at 19%, the US at 15%, and Europe at 11%.
In terms of asset classes, small-cap equities are expected to be top performers next year with 26% of all votes cast, followed by mid-cap equities (19%), and large-cap equities and bonds both at 11%.
More than two-thirds (70%) of managers expressed optimism about rising global stock markets in 2024, with 15% anticipating a decline and the remainder uncertain about their outlooks. Regarding the FTSE 100, 65% predicted the index to surpass 7,500, while 35% see it falling below this level.
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In terms of economic factors, a majority of managers (78%) believe interest rates have reached their peak, contrasting with 7% who anticipate further increases, and 15% who did not respond. However, 59% of managers expect the Bank of England base rate
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