It's been a long road but, finally, the FTSE 100 has reached 7,500 points. This may prompt worry among some investors, since it could mean the index is overvalued and there is a lack of investment opportunities on offer. Risks such as Brexit, the general election, Trump's Presidency and numerous others could weigh on the UK's main index. Likewise, those risks may fade and leave investors in an even more bullish mood. Therefore, in my view there is limited value in attempting to predict the short-term price movements of the index. During bull and bear markets, opportunities to buy and sell nearly always exist – no matter what the index's level. One such opportunity at the moment could be Royal Mail (LON:RMG). The company offers a very low valuation, high yield and a business model which has the potential to improve. Although risks do exist, the rewards suggest Royal Mail has investment appeal regardless of how the FTSE 100 performs in future. | |
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