European fund managers are increasingly bullish that rising economic growth will fuel a rally in the region’s stocks, with the proportion saying the shares are undervalued against global peers reaching its highest in six years.
Bank of America’s latest survey of more than 200 European fund managers — responsible for managing $482bn in assets between them — found that the proportion that view the region’s equities as undervalued had hit a net 38 per cent of respondents.
“A plurality of investors expects Europe to be the best performing equity market globally this year,” BofA researchers said.
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