U.K. Equities At Mid-2000 Valuations Amid Fears Of Brexit

With 25% of U.K. equities offering a dividend yield above the corporate bond yield, U.K. equities offer very good value versus bonds, reports Goldman Sachs. Sharon Bell and team said in their research report titled “UK: The market, valuation…. And Brexit” that if a U.K. exit led to a severe squeeze on domestic growth, the FTSE 250, FT Small cap and U.K. domestic-focused companies would likely underperform the FTSE 100.  U.K. equities – Valuations return to early to mid-2000s levels Bell and colleagues point out that the FTSE 100 is at the same level as in 1998 and that the recent falls would imply…