A JP Morgan analsyst likes equities in Japan and the UK.
- “Even though it feels that Japan is a consensus overweight, we think that flows are still at an early stage and can support further outperformance of the region”
- further sup[port is expected from economic relation
- also efforts by the Tokyo Stock Exchange to improve shareholder returns and corporate profitability
- is a “record cheap” market within Europe
- “UK is a typical low beta play, and last year equity indices were strongly up. If the equity market becomes more volatile, with challenge to the Goldilocks narrative, UK could see a tailwind.”
- attractive also due to its high dividend yield