Twitter icon Email alerts icon Latest News RSS icon Magazine icon Stay connected:

View the article online at http://citywire.co.uk/wealth-manager/article/a750657

Ruffer buys old tech for mini-bubble protection

by Dylan Lobo on May 12, 2014 at 13:23

The pair said its meetings with the Bank of Japan and 'numerous' company meetings suggest prime minister Shinzo Abe's program is on track, with signs of positive inflation and growth.

'We are half way through the stimulus programme which has succeeded in delivering dramatic growth in corporate profitability which will feed through to consumers through salaries, bonuses and dividends,' Russell and Baillie said.

'The government is preparing the ground for structural changes to employment law, agricultural reform and the introduction of corporate tax incentives. At the same time land prices in Tokyo are rising and the banking sector is willing and able to lend.

'We feel that this is an encouraging backdrop. We should not expect the same level of return as we saw last year but if a domestic recovery is achieved then the very low level of expectations in markets means that there is still plenty to go for.'

In the three years to May 2014 Ruffer Investment Company's net asset value has rise by 10.7% versus the 27.54% rise in the FTSE World Index. The trust sits on a 1.4% discount.  

Sign in / register to view full article on one page

leave a comment

Please sign in here or register here to comment. It is free to register and only takes a minute or two.

News sponsored by:

Sponsored Video: Bringing it all back home


As the UK coalition government strives to rebalance the national economy, so called 'reshoring' looks set to play an increasingly important role in economic recovery.

Today's top headlines

The Citywire guide to investment trusts

Investment trusts have proved to be a highly effective way to invest in the market. Citywire has interviewed the experts to find out more.

Investing for income in a changing environment


With talk on interest rates on the horizon, our latest roundtable debate covers income investing against a changing backdrop

More about this:

Look up the investment trusts

  • Ruffer Investment Company (Ordinary Share)
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them

Look up the fund managers

  • Steve Russell
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them

Archive

On the road

Click here to find out more from the Audience Development team.

Sorry, this link is not
quite ready yet