Growth to remain level across Europe: Survey

Investment managers expect economic growth to remain at current levels within Europe this year, according to a new survey by Mercer Investment Consulting.

The survey covered 55 European institutional investment managers with some $10 trillion (€7.6 trillion) assets under management.

Key findings include:

- Returns of 7% expected for equities in 2005; 3% for bonds

- Japan most favoured market

- US seen as least attractive

- Vodafone and France Telecom seen as most attractive stock picks in UK and Europe respectively

- Hedge funds seen as one of the biggest growth areas for pension funds