Is The U.K. Market Ready To Go Ballistic?

The U.K. market is so painfully cheap it is now privately being described by fund managers as offering a generational opportunity for investors. No one wants to hear that after a generation of failure now is the time to buy, because anything that can be sour for 10 years, then 15 years, then 20 years can seem highly likely to keep on going that way. You have to be very contrarian to start to suffer FOMO (fear of missing out) about not being in the market when the reversion to the performance of other exchanges kicks off. Here is the lack luster performance of the FTSE 100 since January 1, 2000:

It really is extraordinary, all the more so since inflation is up by 80%, which means the market should sit at 12,000 not below 8,000. Let’s pop the FTSE100 alongside the SP500 and Nasdaq: