Biggest equity funds' bets for yearend: energy, banks and SIFs
Stock market corrections have pushed some of the biggest fund
managers to take shelter betting on energy stocks, such as Transgaz
Transelectrica and Petrom, for the coming period, while others,
with a higher risk appetite, are keeping their exposure to the
financial sector, expecting the economy to recover.
Banking and SIF stock have lost ground in the portfolio of the
biggest equity fund with exposure to the Romanian market, ING
Romanian Equity, to energy stock. The strategy shift is mainly
accounted for by the trend of financial stock and risks associated
to this sector. In the first months of the year, financial stocks
performed well, but after corrections started in April, they have
had a modest performance under the impact of the rising bad loan
portfolio and bad economic news.
Adrian Tănase, investment manager with ING Investment Management,
managing Romanian Equity fund, does not believe in the short-term
growth potential of banking stock.
On the other hand, Radu Hanga, general manager of BT Asset
Management managing BT Maxim, the biggest equity fund registered
domestically, believes the economic rebound will be mainly felt in
the financial sector.