Investment specialist Legal and General Asset Management has warned that the global uncertainty that has impacted upon markets has left a residue of risk.

Disussing the recent rate cuts in the US, that have led to overall positivity in the worldwide markets, a spokesperson for the firm warned that investors cannot take their eyes off the ball.

Risks to the gobal economy are actually rising rather than sinking, claimed Julien Garran, the firm's investment strategist.

He noted that a good response in equity and credit markets has been recorded in the wake of the US' rate cuts.

What many believe is a benign rebalancing of growth from the developed economies to the developing nations, may turn out to have a sting in the tail, he warned.

In addition, the expert said that resource prices for things such as oil, metal and food are still rising.

Legal and General Asset Management is part of a major financial services company that also provides products such as savings and home insurance .