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Which funds managed the market storm best?
by Dylan Lobo on May 21, 2010 at 13:08
Recent volatility has left many big-name funds nursing losses.
You would be hard pressed to find a fund manager with a spring in his step over the last three weeks. Between 26 April and 12 May, fund managers across the board took a battering as the perfect storm of Greek debt contagion fears, the UK hung parliament and fears on inflation combined to send global stock markets tailspinning.
This week has seen more volatility after Germany introduced a ban on naked short selling and the world held its breath to as it parliament voted on the Greek bailout.
While 12 days is a relatively short period to judge a fund manager, the extreme volatility gives an interesting insight as to how funds were positioned. Some of the big names in the profession have struggled, while some relative unknowns and perennial underperformers have fared well.
So which funds managed to best preserve wealth between 26 April and 12 May?
Ruffer's cautious strategy prevails
In the Cautious Managed sector the average fund lost -2.44% over the 12 days, with only two funds – Robin Geffen’s Neptune Cautious Managed fund and the CF Ruffer Total Return fund run by Citywire AA-rated duo David Ballance (pictured) and Steve Russell – keeping their heads above water. In a recent interview with Citywire, Ballance said the Ruffer team’s biggest concerns were inflation and a bubble emerging in China.
He said: ‘The Chinese response to the credit crisis was huge public infrastructure spending. The authorities effectively issued a decree to banks to lend money, which resulted in massive credit creation. Our worry is that most of this money has gone into property speculation and industries where there is overcapacity.’
The two worst performing funds in the sector were run by big insurance houses – Jacqueline Kerr’s Standard Life Investments Dynamic Distribution and the Legal & General Distribution Trust , managed by Kevin Chessum, which returned -5.86% and -5.14% respectively.
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- Neptune Cautious Managed A Acc
- CF Ruffer Total Return I Inc
- Standard Life Inv Dynamic Distribution Ret Acc
- Legal & General Distribution Trust R Acc
- Neptune European Opportunities A Acc
- Neptune European Max Alpha A Acc
- Standard Life Inv European Equity Income Ret Acc
- Standard Life Inv European Equity Growth Ret Acc
- Manek Growth
- Standard Life Inv UK Equity Growth Inst Acc
- Unicorn UK Income A Inc
- Premier Income Retail
- Premier Alpha Income Retail
- Rensburg UK Micro Cap Growth
- Invesco Perpetual High Income Inc
- St James's Place UK High Income Acc
- Invesco Perpetual UK Strategic Inc (No Trail) Inc
- GLG Gilt Prof Acc
- Schroder Corporate Bond Inc
- Threadneedle Dollar Bond C1 Income
- Invesco Perpetual Monthly Income Plus Inc
- Aberdeen Emerging Markets A Acc
- First State Gbl Emer Mkts Sustainability A GBP Acc
- First State Asia Pacific Sustainability A GBP Acc
- Melchior North American Opportunities USD A
- Investec Global Gold A Acc Net
- Smith & Williamson Global Gold & Resources Inc
- BlackRock Gold & General Inc
- CF Oceanic Australian Natural Resources
- Junior Oils
- Jupiter Financial Opportunities
- Greenwich Acc
Look up the fund managers
- Robin Geffen
- David Ballance
- Steve Russell
- Jacqueline Kerr
- Kevin Chessum
- Rob Burnett
- Will James
- Jaime Ramos-Martin
- Jayesh Manek
- Karen Robertson
- John McClure
- Christopher Hutchinson
- Stuart Sharp
- Neil Woodford
- Mark Barnett
- David Oliphant
- Paul Read
- Paul Causer
- Devan Kaloo
- David Gait
- Peter Kaye
- Philip Gibbs
Aberdeen Live supplement: Fundamentals point to ongoing flows and solid returns from EMD
After a record year for inflows and market-leading performance in 2012, emerging market debt has taken a large step towards the mainstream. Our recent debate covers the outlook for the asset class this year and where opportunities can be found.