UK economic growth bodes well for equities, says Schroders

Schroders outlook for next year is positive, with the UK avoiding a double dip recession and equity markets rising. However, the eurozone problems are not over and interest rates remain low.

The Bank of England in the City of London
Inflation will remain above Bank of England target and QE2 is a possiblilty

The UK economy will continue to grow in 2011, avoiding a double dip recession and making equities a good investment, according to Schroders Crystal Ball report.

Schroders also thinks that emerging markets should avoid overheating and that gold prices may continue to rise.

As for the problems with Greece and other peripheral eurozone countries, while not offering any clear outlook, Alan Brown, group chief investment officer at Schroders in London, stated that they have three options: "Stay on the

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