investment pros call ftse year end

The level called for the UK’s main index is almost 100 points lower than it closed yesterday (Monday), suggesting the blue chip rally of January will tail off and consolidate later in the year.

CFA members gave their views for the year on a number of asset classes, with gold pipped to top the $1700 per ounce level by the close of 2013.

Meanwhile, yields on 10-year treasuries and gilts are estimated to be only marginally higher in 12 months’ time.

Members submitted their forecasts a couple of months ago, the CFA said and most predictions are close to the levels seen mid-way through January.

Will Goodhart, chief executive of CFA UK, said: “What we don’t know is how accurate these forecasts will have proved to be at the end of the year.

“Forecasting is an inherently difficult practice, but these forecasts suggest that, while uncertainty appears to be diminishing. The mood remains only marginally optimistic. That reflects the general perception that, while the macroeconomic outlook is unlikely to get much worse and that tail risk is decreasing, things aren’t going to get much better in a hurry.”

A table of the average forecast as per the annual CFA survey is below, along with the closing level for each asset class as at 15/01/13.