192. Why energy prices could remain high

Niall Gallagher, manager of GAM Star Continental European Equity fund, explains why European companies have such a global reach. He discusses the big trends of the growing middle classes in Asia and decarbonisation and explains how European equity investors can benefit. Niall also gives his view on why inflation could be here to stay and why Europe is in danger of locking in high energy prices.
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GAM Star Continental European Equity invests in large companies, with the team preferring those it believes will grow faster than the index. The team looks to buy stocks at the point where they are either out-of-favour or where growth prospects are believed not to be fully reflected in the share price. Manager Niall Gallagher has a pragmatic approach, exhibits excellent patience in his process and conviction in his decisions.

What’s covered in this episode:

  • Why investing in European equities isn’t just investing in Europe
  • How you can get exposure to the growing Asian middle classes
  • The goods and services that middle class populations spend money on
  • How to invest for decarbonisation in Europe
  • Why the manager believes inflation is here to stay
  • Why renewable energy is expensive
  • The political risk of windfall taxes on energy companies
  • How the manager looks at ESG risks
  • Why Europe should be careful not to lock itself into higher energy prices
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