Wealth Manager - the site for professional investment managers

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

Confidence in UK markets hits post-crash high

Confidence in UK markets hits post-crash high

Confidence in the UK financial system has fallen to a post-crash low as cross asset volatility has also fallen to a multi-year low point.  

The number of executives who believe the probability of a ‘high impact’ event was ‘low or very low’ rose 9% to 64% over the first half, according to the Bank of England’s bi-annual Systemic Risk Survey.

Almost half or 46% believed the likelihood of a economic major disruption had fallen, with only 6% believing it had increased over the last six months.

Against a backdrop of volatility at multi-year lows, not just in equity but also within fixed income and FX markets, the sanguine view from the City could be interpreted as complacency, however.

‘Confidence in the UK financial system has risen slightly since the October 2013 survey,’ wrote the Bank of England.  24% (+5 percentage points) of respondents are completely confident or very confident in the stability of the UK financial system as a whole over the next three years and 69% fairly confident (-8 percentage points).

‘But there has been a slight increase in the proportion of respondents who were not very confident (+3 percentage points to 7%).’

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play French fund CEOs: 'Brexit is a lose-lose situation for all of us'

French fund CEOs: 'Brexit is a lose-lose situation for all of us'

'We'll all lose out - but London is an international city, Paris is not.' Leading French asset management CEOs tell us what they think Brexit will mean for the investment business.

Play Henderson Eurotrust's Stevenson: dealing with European cynicism

Henderson Eurotrust's Stevenson: dealing with European cynicism

Tim Stevenson talks about where he finds his opportunities in the current environment in Europe

Play Mark Barnett - part 2: why I'm not buying Lloyds

Mark Barnett - part 2: why I'm not buying Lloyds

In the second part of our exclusive video interview, Barnett explains why he has no intention of buying Lloyds, and where he sees the greatest income opportunities.

Read More
Wealth Manager on Twitter