Investors in Limerick have been advised that now is a perfect time to add to their investment portfolios, according to Hibernian Investment Managers, Limerick, who believe that the current turmoil in global financial markets presents an opportunity to improve the quality of investment portfolio.

HIMs analysis shows that equities are now at their cheapest valuation in more than 30 years and that many high quality companies such as BMP, KBC and AIB are being unfairly undervalued.

HIM is also sceptical of the 'doom and gloom' analysis that is dominant in the media and which is being driven by some market commentators to help them fulfil their own short-term investment strategy.

However in relation to Ireland, HIM are not so optimistic, predicting that unemployment could hit 6% (level last seen in 1999) in a worst-case-scenario as the property market continues to suffer.

At HIM's annual Focus event for investment brokers, at Limerick's Castletroy Park Hotel last week, HIM predicted a brighter outlook for 2008 and that the risk of recession in the US is much lower than the consensus. In technical terms, a recession involves two negative quarters in a row and the US has not yet experienced that.

"Doom and gloom may well give a catchy headline but the truth will always out and the facts are that the negative sentiment in the market is overdone.

The US economy is not only 'not' in recession, it is delivering growth, the Chinese economy is continuing to grow rapidly and world trade is growing. There is certainly a lot more volatility in financial markets but if we have learned one thing from history it is that equities outperform all other investment classes in the long term," said HIMs Chief Investment Officer, Roy Asher.

HIM also predict that the current financial crisis will ease as the year progresses.

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