Brexit, headline inflation and a muted growth outlook: this is what is in store for the UK economy at the moment, according to the latest BlackRock Growth GPS survey.
On Wednesday (8 November), make sure you join FTAdviser for a live debate on what awaits the UK economy in 2018 and what you should do for your clients to prepare their investment portfolios for the year ahead.
Preparing clients now is vital because, as Richard Turnill, global chief investment strategist for BlackRock, pointed out although third quarter UK growth has picked up “we see economic fragility holding back further Bank of England tightening.”
Higher prices (headline inflation hit a five-year high in September) are hurting consumer spending in the UK as wages are not keeping pace.
This is reflected in third quarter retail sales falling to levels last seen in 2013.
According to Mr Turnill, a muted growth outlook for the UK stands “in stark contrast to 2016, when the UK sat close to the top of G7 growth charts alongside Germany. Brexit negotiations in particular are weighing on the UK economy.
“Significant progress on three key issues is needed for discussions to move on to the post-Brexit trade relationship between the UK and European Union (EU): the rights of EU citizens in the UK and vice versa, the UK’s financial obligations to the EU, and the Irish border.”
So, against this backdrop, what is the outlook for UK equity investing?
Should investors be avoiding a home bias and how can investors get true diversification, not just within the UK investment universe but globally?
On Wednesday you can take part in an FTAdviser live debate, in partnership with BlackRock, and learn the answer to these questions and raise your own thoughts and concerns with our panel of UK investment experts.
Nick Osborne, head of research for the UK equity team at BlackRock; Helal Miah, investment research analyst for The Share Centre, and Mark Preskett, portfolio manager at Morningstar, will be available between 12pm and 1pm to answer your queries on the outlook for the UK.
Join us at 12 noon on Wednesday (8 November) to take part in the live debate and click here to bookmark the live debate page.
You can also send questions ahead of the event to Simoney Kyriakou, content plus editor of FTAdviser, at simoney.kyriakou@ft.com or to @FTAdviser using the hashtag #FTAOnAir.
To submit your questions and comments on the day use the live feed, which will appear here.
simoney.kyriakou@ft.com
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