The resolution of recent problems in global financial markets will take time, Nick Lee, director of investment and fund management at Ashburton has said, and levels of new investment will obviously be lower throughout this time. But the money that is built on the sidelines while investors wait for the situation to be resolved will be channelled into US and Asian equities once the tide turns, he predicted.

‘In the US, we identify agriculture and infrastructure as industries where longer-term growth is likely to emerge and so have increased exposure to these themes, particularly in recent weeks. The Ashburton Americas Fund currently has a nine per cent exposure to agriculture and 11 per cent to infrastructure.’

Lee continued, ‘Asia has for a long time been our favoured region and has stood up well to recent market turbulence. Asian equities continue to power to record highs, driven largely by the commodity, energy and shipping names. Chinese stocks have once again been leading the region, closely followed by strong moves in Indian equities.

‘We believe the prospect for Asian equities remains strong. Recently, the Federal Reserve was the first to cut rates to restore confidence and help stabilise the markets. And there is no doubt that further rate cuts will follow, leading to exactly the sort of speculative bubbles that central banks would have liked to avoid. This is very good news for equities, particularly for Asia.’