Brooks Macdonald Funds has hit the £100 million mark in its defensive capital growth strategy, run by AA-rated managers Jonathan Gumpel and Robin Eggar.
The IFSL Brooks Macdonald Defensive Capital Fund, which was launched in 2006, invests in preference shares, loan notes, convertibles and structured notes which do not depend on market growth for positive capital returns. It has provided strong outperformance of 6.88% over the last year, compared to 3.89% in the Mixed Assets: Absolute Return Sector average.
Eggar said he had worked to avoid overpriced bonds and risk-driven equity markets.
‘Good tactical calls have been combined with quality underlying growth assets and the fund remains well positioned to benefit from continued market uncertainty whilst avoiding the fluctuations in overpriced bonds and risk driven equity markets,’ he said.
Gumpel added: ‘Over the last three years the fund has not only grown in size considerably but also shown the ability to deliver consistent, strong performance with low levels of volatility.