UK share buybacks are close to matching the amount of new equity issued for the first time in five years, but investors cautioned they are not yet at a level to help a stock market that has been a global laggard over the past year.

1. Why are share buybacks often concentrated in certain industrial sectors? 

2. If companies are seen to be buying back their shares as they perceive them as being undervalued, what implication does this have for finance theory?