UK pension funds sell stocks as market triggers bubble warning

LONDON: If the basic tenet of investing is knowing when to buy and sell, the stock market boom has taken that decision out of the hands of some money managers.

The US$2.9 trillion British pension fund industry is yanking money at an accelerated pace as company valuations forge new records globally. The reason is that the gains are triggering sell orders to quickly lock in investment returns, a safety mechanism introduced after the financial crisis to reduce exposure to potential market bubbles and subsequent collapses.