Managers shift to neutral as UK equities look attractive

UK long/short managers are now veering towards a more neutral stance, moving away from a bias towards short positions that have been successful for much of this year.

Overall, the outlook for the UK equity market is positive for the coming months, as low valuations across the market have left firms looking attractive.

Chris Fagan, chief executive at GHK Asset Management, says the market movements have been at odds with fundamental valuations.

He says: 'Early in 2002, we had a substantial short bi