ONE of Scotland's highest profile fund management figures has called an end to the credit crunch, a rare positive voice for the sector.
Martin Gilbert, the founder and chief executive of Aberdeen Asset Management (AAM), told the Fund Forum 2008 conference in Barcelona that the financial sector could "muddle through" the remainder of the credit crunch.
"I think we're almost over (t
he crisis] ... I think there are a lot of things that will still go wrong but we'll muddle through. We're back to what I'd term normal banking," he said.
AAM does not appear to be afraid of taking positions against the market trend, massively increasing its exposure to commercial property earlier this year with the £130 million acquisition of Goodman Property Investors.
Gilbert added that while a short-term rebound was unlikely, he believed the worst impact on financial shares was over. "We've had an unbelievably bad bear market already in most stocks... I think the worst is over in most stocks... I think everyone is so negative that I tend to be more positive."
This year London-based hedge fund Toscafund has built its stake in AAM to more than 25 per cent, claiming the share has been sold "indiscriminantly". Not everyone is convinced AAM shares will not fall further, however, with Evolution Securities issuing a "sell" note on the stock yesterday.
But despite falling share prices, AAM is expecting net asset flows to be, at worst, flat for the year to 30 September.
AAM had assets under management of £107.3 billion as of 31 March.
The full article contains 270 words and appears in The Scotsman newspaper.
