WHAT I am about to tell you will not come as a surprise, writes Samantha Dolby, an investment manager at Brewin Dolphin in Newcastle.

The European markets, because of the political wrangling’s in Greece, have plagued headlines for weeks, and it has become a little tedious. Why can’t the leaders agree? Why is Greece being allowed to play this out until the final hour? Will it lead it an agreement in the 13th hour? Will Greece default?

European equity markets made little progress in May against the headwinds of rising bond yields, a strengthening currency and contention in Greece over the debt agreement. This came close to a time when so much positive news flow from the European continent caused speculation that the European Central Bank would look to scale back its quantative easing programme.

Greece’s saga appears to have come back to haunt European investment markets and we are experiencing a period of volatility while a conclusion is reached. Right now, it would be foolish to try and second guess an outcome, but it remains clear that that International Monetary Fund want their repayment. Despite the prevalent volatility, the Euro area is in a more robust state that it was.

What is also pertinent, and has been lost in all of the demise, is that Greece represents merely 2% of Europe’s economy.

As ever, while the headlines focus on economic and geopolitical events, fund managers focus on companies, meeting with management and understanding future prospects for earnings. They are not seeing the same picture as the headlines lead us to believe. On a sector level, technology was the stand out performer in May, followed by basic materials, while Telecoms and oil & gas were the biggest detractors on performance.

Economic data also provides a more positive backdrop, with economic growth expected in Spain (despite the result of the recent elections) and Italy, with some inflation in Germany. The French economy also beat estimates, reporting growth of 0.6%, its fastest pace in almost two years; all good news for British exporters and the likes of North-East engineering firm, Whessoe.

Stemming back more than two centuries, Darlington based Whessoe, is one of the world leaders in the design of industrial tanks and wins around 90 per cent of its contracts overseas.

With links to Europe, Whessoe has designed and built gas storage facilities on a Greek Island and off the coast of Italy, as well as more further afield. While the falling gas price has hurt business in 2015, the company continues to hunt for global contracts and has diversified into the power sector to help fill the order book and sustain growth into 2016.

While North-East firms will continue to trade with Europe, opportunities have also emerged in the West, specifically Canada. As part of the bilateral trade agreement, which is valued around £13bn every year, more than 700 Canadian companies invest in the UK. A proposed free trade deal between Canada and the European Union could further open this up and eliminate the tariff barriers between the nations – especially the offshore industry, a sector where the North-East thrives. Is this one more reason to stay in the European Union Mr Cameron?

Samantha Dolby is an Investment Manager at Brewin Dolphin and offers advice on a wide range of financial services to private clients, trusts, charities and pension funds.

Past performance is not an indication of future performance. The value of any investment and any income can fall and you may get back less than you invested. No investment is suitable for all people and should you have any doubts you should consult an authorised financial adviser.

The information contained in this article has been taken from public sources and is believed to be reliable and accurate, but without further investigation cannot be warranted as to accuracy or completeness. The opinions expressed in this article are not necessarily the views held throughout Brewin Dolphin Ltd. No Director, representative or employee of Brewin Dolphin Ltd accepts liability for any direct or consequential loss arising from the use of this document or its contents.