The Share Centre identifies ten shares for volatile times

As the upheaval in the financial markets continues, retail stockbroker, The Share Centre is encouraging investors to remain cautiously optimistic about the market, and has identified ten shares for those wishing to find value at present.

Nick Raynor Investment Adviser at The Share Centre, said: "Some investors are naturally wary of shares at present given the volatility surrounding the financial sector. However, a see-sawing market has not put off everyone - there are still opportunities for investors to boost their portfolios with traditionally expensive defensive shares, and to pick up bargain shares in companies who are currently undervalued. We are encouraging investors to fully research any investments they are considering and that they make the most of alert and monitoring tools such as stop loss limits and price targets.

"Those investing for the longer-term could consider tweaking their investment strategy to gradually invest money into the market, helping to reduce the risk of buying overpriced shares, since the investments are spread out over time. This strategy can also help to smooth out market fluctuations as the investor will benefit from pound-cost averaging (a fixed contribution each month will result in more shares being purchased at low market prices than at high prices)."

Raynor highlights ten shares which may appeal to investors looking for value in the current market climate:

1. National Grid
2. Pennon
3. Northumbrian
4. Cobham
5. Reckitt Benckiser
6. Lloyds TSB
7. Tesco
8. BAT
9. BT
10. Land Securities

National Grid, Pennon and Northumbrian

In terms of sectors, we like utilities and water, and would recommend National Grid (NG.), Pennon (PNN) and Northumbrian (NWG). Investors should be encouraged by National Grid's good history and track record to date. Although Pennon and Northumbrian may have benefitted temporarily from talks of consolidation a while back, current market forces have meant the focus has shifted from utilities to the banking sector. However, EDF's recent purchase of British Energy is nearly complete, and this may just rekindle some corporate activity within the sector.

Cobham

The aerospace and defence sector remains one of our favourite areas of the market to have exposure to in 2008 - increased spending, especially in the US, where defence budgets are growing at a higher rate than in the UK, is good news for the company. Cobham (COB) recently won a significant contract and announced that it will acquire GMS, a US Intelligence company. Expansion plans, a good set of August results, and a 12 per cent fall in the share price recently all adds to the attraction.

Reckitt Benckiser

Reckitt Benckiser (RB.) is the world's largest household cleaning products group, owning brands such as Cillit Bang, Vanish, Harpic and Airwick. Reckitt has managed to increase targets and continues to hit them. The company's strategy is simple and well executed, so as long as core products remain strong the constant stream of innovations should keep sales moving upwards. Even on a steep earnings multiple there is plenty of long-term potential.

Lloyds TSB

For the very brave looking to take advantage of current weakness in the banking sector, Lloyds TSB (LLOY) could still be worth a punt. Going forward, we hope that after this period of volatility, the merger will create a powerful entity on the high street and offer some long-term value for investors.

Tesco

Tuesday's results have further added to Tesco's (TSCO) reputation as a classic defensive share. While we remain largely unconvinced about its American venture, Tesco's expansion into other markets such as Russia, appear to be going well. Investors looking for a stable and long-term investment should look no further than this retail giant. Tuesday's announcement has also shown that the dividend (11.6%) is also starting to increase at a reasonable rate helping it to appeal to income seekers.

BAT

We picked British American Tobacco (BATS) earlier this year as the cigarettes and tobacco manufacturer is renowned for its defensive properties. Reassuringly, BAT also doesn't appear to have problems fundraising, and if the overall market is happy to back the company then so are we. This combined with its commitment to increase dividends and for long-term organic growth makes BAT a buy for income seekers and the risk averse.

BT

BT (BT.A) has fallen in line with the market, but the telecoms sector remains relatively stable compared to that of the financial sector. The UK's broadband audience is growing rapidly and the good news for potential investors in BT is that the company is the leading retail supplier in the country. Income seekers will be encouraged by the near 10 per cent yield however, in the present climate we would suggest buyers only drip feed into this share.

Land Securities

Investors should be encouraged by the decision to split up Land Securities (LAND) £15 billion property portfolio into three separately quoted businesses as the company looks to return value to investors. However, this has still not happened and it looks as though it is going to be a long drawn out process. Land Securities remain a net seller of properties despite indicating that it will return to strategic acquisitions. The business also expects rent reviews of its London properties to be upward over the next two years.

To see The Share Centre's view on all FTSE100 shares please visit share.com. Registration may be required.