“We’re seeing quite a few hedge funds on the [sidelines] on the macro environment,” she stated. “We don’t play politics, we’re into valuations so a lot of them are putting money on the side or taking smaller bets.”
Other fund managers see value in companies that, while based in markets other than the U.S and Europe, are still brisk business in the euro zone. Neel Kashkari, Pimco’s managing director, said Kia Motors was a good investment given a 25% jump in its European sales during the debt crisis.
Under normal circumstance, the U.K. would be considered a shelter from the storm buffeting the euro zone, given the way its economy has traditionally outperformed its European peers.
This time, the Anglo economy has problems of its own. The woes dragging on the global economy have all but dampened Britain’s safe-haven status and curbed investors’ enthusiasm for British assets.
Late Thursday, global soccer icon Manchester United priced an initial public offering at $14 per share – well below the expected range of $16-20. Yet the fact that any company went public in the current environment could be an indication that companies are getting anxious on the sidelines.
And despite the disappointing price, Manchester CEO touted the club as a “growth story” that investors could buy into.
“What we’ve shown to investors on the road is that we are very much a growth story,” Gill told CNBC’s Squawk Box. “In the current economic climate we all face that’s a very positive thing, and people have bought into it.”
Correction: A previous version of this article misspelled Jane Buchan's name.