View the article online at http://citywire.co.uk/wealth-manager/article/a756208
Performance Review: why Duncan Lawrie is backing Barnett
by Elsa Buchanan on Jun 17, 2014 at 12:58
In emerging markets, Humphreys is finding opportunities in Asia, with a 7% portfolio position in the Aberdeen Asia Pacific Equity and Newton Asian Income funds, managed by Hugh Young and Jason Pidcock respectively. Both are + rated.
‘Defensive funds performed well over the past years as the rest of the market underperformed,’ he said.
‘Although Woolnough‘s fund is large, the team seems to be able to keep up with the market, and performance hasn’t really suffered.’
Humphreys also backs the Twenty Four Dynamic Bond fund, which focuses on financial debt and asset-backed securities. The team has built up its alternatives exposure to 16%. Half of this is held in Standard Life Investment’s Gars , run by A-rated Guy Stern, and the Ignis Absolute Return Government Bond fund.
‘The latter cut its dividend last year, which we think was a positive step,’ he said.
Currently going through a period of consolidation as investors wait for further evidence that Abenomics is working. However, for those clients happy to tolerate the volatility of the Japanese equity market, we believe that this is a buying opportunity as we expect Abenomics to be positive in the medium-term.
HOLD: Emerging Markets
We believe that emerging markets provide an excellent long-term growth opportunity and exposure remains an important element of a diversified portfolio. Valuations are attractive and buying opportunities are appearing, although one must be selective and focus on those countries that are embracing structural reform.
Yields may currently underestimate how soon interest rates are likely to be raised. Also, if the Bank of England is determined to raise rates in a very gradual manner, the interest rate peak in this cycle may be higher than expected as they try to get ahead of the curve.
News sponsored by:
As the UK coalition government strives to rebalance the national economy, so called 'reshoring' looks set to play an increasingly important role in economic recovery.
Today's top headlines
From Nigeria to Pakistan and from Kenya to Kuwait, frontier markets are catching investors' attention as never before.
More about this:
Look up the funds
- Invesco Perpetual Income Inc
- Liontrust Macro Equity Income Fund - Acc (R)
- Artemis Income R Inc
- Standard Life Inv European Equity Income Ret Inc
- Threadneedle American Select Inst Net Acc USD
- Aberdeen Asia Pacific Equity A Acc
- Newton Asian Income GBP Inc
- Jupiter Strategic Bond Acc
- M&G Strategic Corporate Bond A Inc
- PFS TwentyFour Dynamic Bond A Ret Acc
- Standard Life Inv Glo Abs Ret Strategies Inst Acc
- Ignis Absolute Ret Gov Bond GBP A Acc
Look up the investment trusts
Look up the fund managers
- Mark Barnett
- Neil Woodford
- Stephen Bailey
- Jan Luthman
- Adrian Frost
- Will James
- Hugh Young
- Jason Pidcock
- Ariel Bezalel
- Richard Woolnough
- Guy Stern
More from us
On the road
on Aug 01, 2014 at 12:55