Fund news & research from FE Trustnet

JPM Emerging Markets Income trust to slash performance fee

Thomas McMahon — Tue, 21 May 2013 11:00:00 PDT

Richard Titherington’s £304m trust is looking to simplify charges to appeal more to retail investors.

Why small caps are the best way to play emerging Asia

Lydia So — Tue, 21 May 2013 09:45:00 PDT

One of the most direct ways to access the increasingly prosperous middle classes in Asia is to invest in the region’s growing universe of smaller companies writes Lydia So, portfolio manager at Matthews Asia.

Beware small cap funds that shoot the lights out, warns Nickols

Alex Paget — Tue, 21 May 2013 07:30:00 PDT

The only blemish on the Old Mutual manager’s record came in 2009, but he still managed to make 39.24 per cent over the 12 month period.

Magrath: Giant bond funds are fatally flawed

Thomas McMahon — Tue, 21 May 2013 05:15:00 PDT

Bond funds with over £750m in asset under management have minimal ability to add value through stock-picking, according to the team behind the Twenty-Four Dynamic Bond fund.

“Big opportunity” in BlackRock Gold & General fund, says Cazenove

Joshua Ausden — Tue, 21 May 2013 04:00:00 PDT

The team behind the £1.1bn Cazenove Multi Manager Diversity fund believes that gold equities are one of the only value plays available to investors.

How to be a successful investment trust investor

Alex Paget — Tue, 21 May 2013 01:00:00 PDT

Industry experts explain what newcomers to the sector need to know before parting way with their hard-earned cash.

Funds that help you sleep at night: UK growth

Thomas McMahon — Mon, 20 May 2013 12:00:00 PDT

In the first of a new series, FE Trustnet looks at a superior way to measure risk than volatility in the UK All Companies sector.

Time to take profits on Japanese funds, says Becket

Alex Paget — Mon, 20 May 2013 10:45:00 PDT

The fund of funds manager says the markets could go much higher, but the risk are too high for him to stay heavily invested.

How to give your portfolio an extra growth-kick

Tim Levett — Mon, 20 May 2013 09:30:00 PDT

Tim Levett, manager of the Northern Venture Trust, takes investors through the various advantages to investing in the VCT Generalist sector.

Markets are 25% overvalued, warns James Sullivan

Joshua Ausden — Mon, 20 May 2013 07:15:00 PDT

The manager of the CF Miton Special Situations Portfolio thinks investors expecting an all-out bull market are likely to be disappointed.

Where the value is in emerging markets

Thomas McMahon — Mon, 20 May 2013 04:45:00 PDT

Investors need to be aware that the top-performing Thai market is now expensive, while cheap China may be cheap for a reason.

Walls: The only trust that’s still a bargain

Alex Paget — Mon, 20 May 2013 03:45:00 PDT

Unicorn's Peter Walls tells FE Trustnet that his contrarian style has led him towards the unloved property market

Five cheap FTSE stocks that have lagged the rally

Joshua Ausden — Mon, 20 May 2013 01:00:00 PDT

FE Trustnet asks The Share Centre’s Helal Miah to highlight five large cap stocks that still represent good value for investors.

How the FSA prevented investors from being caught up in the Pritchard insolvency - part I

www.StructuredRetailProducts.com — Sun, 19 May 2013 17:00:00 PDT

Alternatives to the Jupiter European fund

Joshua Ausden — Sun, 19 May 2013 09:30:00 PDT

In the last article of FE Trustnet Weekend’s European special, we look at some lesser-known funds that score highly across FE’s performance ratings.

The companies leading Europe out of the crisis

Jenna Voigt — Sun, 19 May 2013 06:00:00 PDT

Alken’s Nicolas Walewski says investors who are kicking themselves for missing out on the rally in non-cyclical stocks should look to Europe, where this area of the market remains undervalued.

Bennett: Why you’d be a fool to ignore Europe

Alex Paget — Sun, 19 May 2013 03:30:00 PDT

The Henderson manager says his fund is made up of quality global companies that have been unfairly tarnished by the fact that they originated in Europe.

The sector that finds the best stockpickers for you

Alex Paget — Sun, 19 May 2013 00:00:00 PDT

The turmoil in Europe over the past few years has made it easy to separate the best bottom-up managers from their counterparts who blindly follow the market.

Artemis: Lack of diversification in European funds

Jenna Voigt — Sat, 18 May 2013 11:00:00 PDT

Mark Page and Laurent Millet of the Artemis European Opportunities fund say the rush into quality blue chips has pushed these stocks on to unrealistic valuations.

Darwall: How to make money in a difficult market

Jenna Voigt — Sat, 18 May 2013 09:30:00 PDT

Jupiter's Alexander Darwall says staying true to his approach has been the key to beating the market over the long-term.

FE Research’s European fund-picks

Jenna Voigt — Sat, 18 May 2013 06:00:00 PDT

The FE Research team reveals the funds it would recommend to investors who are willing to ignore the pessimism surrounding the region.

The cheap way to buy global companies

Thomas McMahon — Sat, 18 May 2013 03:30:00 PDT

European blue chips that derive the majority of their earnings from overseas offer investors the dream scenario of being able to buy quality, cash-generative companies at “out-of-favour” prices.

Why European funds are crucial for true diversification

Thomas McMahon — Sat, 18 May 2013 00:00:00 PDT

The engineering and luxury goods businesses that dominate the industries of northern European countries and Germany offer investors exposure to completely different markets than those focused on by UK-based large caps.

Most consistent trusts of the decade: Emerging markets & Europe

Jenna Voigt — Fri, 17 May 2013 12:00:00 PDT

In the next article in the series, FE Trustnet looks at the most consistent investment trusts in Europe and developing markets on both a relative and absolute basis.

The new way to cash in on the Asian consumer story

Thomas McMahon — Fri, 17 May 2013 10:30:00 PDT

Tech firms such as Samsung that gear their products towards the Asian consumer may soon overtake the likes of Apple, says Lombard Odier’s Bolko Hohaus.

The biggest investment mistakes of the last 20 years

Alex Paget — Fri, 17 May 2013 08:30:00 PDT

The dotcom crash dominates the horror stories told by investment advisers, who say they will never forget the important lessons they learned in the boom-bust period.

Barton: Why you should be wary of “diversified” funds

Joshua Ausden — Fri, 17 May 2013 06:30:00 PDT

The Oriel manager says it is difficult to understand how one person in charge of a fund with a large number of holdings can have a thorough knowledge of each one’s workings.

The real reason why US funds struggle to outperform

Thomas McMahon — Fri, 17 May 2013 05:15:00 PDT

Baillie Gifford’s managers have poured scorn on the commonly held belief that the reason why active funds in the US fail to consistently beat the S&P 500 is because the market is so well researched.

Gleeson: Don’t obsess over headline yields on equity income funds

Alex Paget — Fri, 17 May 2013 04:15:00 PDT

The head of FE Research says investors need to look at the reasons why a yield is growing – which in many cases is because the price of the underlying assets is falling.

A low-risk alternative to Aberdeen and First State’s Asia funds

Joshua Ausden — Fri, 17 May 2013 01:00:00 PDT

Samir Mehta’s JOHCM Asia ex Japan fund has made a real impression since being launched in late 2011.

RBC's head of sales for France & Benelux departs

www.StructuredRetailProducts.com — Thu, 16 May 2013 17:00:00 PDT

A new way to read FE Trustnet

Joshua Ausden — Thu, 16 May 2013 13:00:00 PDT

Investazine – our new digital mag – is available absolutely free, on iPads and in PDF format.

Nigel Thomas: How to benefit from the revolution in shale gas

Jenna Voigt — Thu, 16 May 2013 11:00:00 PDT

The manager of the AXA Framlington UK Select Opportunities fund says investors do not even need to hold US-based companies to take advantage of the country’s move towards energy independence.

An “all-weather” fund for challenging times

Rob Morgan — Thu, 16 May 2013 09:30:00 PDT

Rob Morgan, pensions and investment analyst at Charles Stanley Direct, highlights a fixed interest fund that is poised to strike when gilt yields finally begin to rise.

The real Asian growth story

Thomas McMahon — Thu, 16 May 2013 08:30:00 PDT

The FTSE ASEAN index has outperformed the FTSE Asia Pacific ex Japan index over one and three years and more than doubled its returns over five.

Why your “defensive” portfolio could be set for massive losses

Alex Paget — Thu, 16 May 2013 06:30:00 PDT

Eric Moore, manager of the Psigma Income fund, says that while non-cyclicals provide economic protection, they cannot offer valuation protection.

Carl Stick: I’m preparing my fund for a worst-case scenario

Carl Stick — Thu, 16 May 2013 05:15:00 PDT

The manager of the Rathbone Income fund says he has learnt from lessons of the past, and is aiming to reduce downside risk as much as possible.

Funds that add the most value: Emerging Asia and Japan

Thomas McMahon — Thu, 16 May 2013 04:00:00 PDT

A large proportion of Asian funds have added positive alpha to their benchmark over the past five years.

How bond investors could lose cash in a recovery

Alex Paget — Thu, 16 May 2013 01:00:00 PDT

Rising yields on government bonds will give investors who have become used to the bull market in fixed income an unpleasant surprise, says AXA’s Nicolas Trindade.

Derek Mitchell’s stock picks to lead the recovery

Alex Paget — Wed, 15 May 2013 06:00:00 PDT

The increasingly bullish manager tells FE Trustnet which three UK stocks he is tipping for big returns in the coming years.

High-yield trusts to protect against rising rates

Thomas McMahon — Wed, 15 May 2013 05:30:00 PDT

Investors looking for high yield have few places to turn, but floating rate funds could be a shrewd choice.

Why capping managers’ bonuses could be the biggest threat to your portfolio

Dominic Johnson — Wed, 15 May 2013 04:30:00 PDT

Dominic Johnson, founding partner of Somerset Capital Management, explains why capping fund managers’ bonuses could hamper the progress of top-performing boutique funds – favourites among many FE Trustnet readers.

Gleeson: The fund I’d back to hit a short-term target

Jenna Voigt — Wed, 15 May 2013 01:00:00 PDT

Head of FE Research Rob Gleeson says Insight Absolute Insight’s cautious, multi-strategy aim of beating cash in a stable and repeatable way regardless of what the market is doing makes it appealing to investors worried about being in bonds.

Leaviss: Now is the time to buy index-linked bonds

Jenna Voigt — Tue, 14 May 2013 11:00:00 PDT

M&G’s Jim Leaviss says inflation will become more of a threat the longer that central banks continue along their current path, and that investors need to take steps to protect themselves against this.

Why it’s time to take profits in defensives before the bubble bursts

Thomas McMahon — Tue, 14 May 2013 09:30:00 PDT

Analyst Dan Boardman-Weston says with valuations at levels previously unheard of in this area of the market, investors should start to sell out now or risk being caught in the inevitable stampede into cyclicals that will accompany any sustained period of global growth.

Julie Dean unconvinced by commodities rebound

Joshua Ausden — Tue, 14 May 2013 08:15:00 PDT

The Cazenove manager points out that while commodities have been in a bear market for two years, they were in a bull market for the seven prior to that, and so do not necessarily represent good value.

Parsons: Why Giles Hargreave has been my best ever investment

Alex Paget — Tue, 14 May 2013 06:15:00 PDT

The Share Centre’s Andy Parsons says the Marlborough manager’s performance since 2005 has underlined to him the importance of investing in someone with experience of every stage of the market cycle.

The next big thing: UK growth

Joshua Ausden — Tue, 14 May 2013 05:00:00 PDT

In the next article in the series, FE Trustnet asks the experts to highlight future stars of the industry – this time, in the UK All Companies sector.

Funds that add the most value: Emerging markets

Thomas McMahon — Tue, 14 May 2013 04:00:00 PDT

Despite the dominance of First State and Aberdeen funds in this area of the market, it is a fund from McInroy & Wood that has produced the highest alpha score over the past five years.

The best way to access the Japanese rally

Alex Paget — Tue, 14 May 2013 01:00:00 PDT

Baillie Gifford’s John MacDougall says the growth of a new entrepreneurial spirit in Japan means investors will find better opportunities towards the lower end of the market cap spectrum.

Most consistent trusts of the decade: UK small caps

Jenna Voigt — Mon, 13 May 2013 11:00:00 PDT

In the next article in the series, FE Trustnet takes a look at the most consistent trusts in the IT UK Smaller Companies sector on both a relative and absolute basis.

Six ways to beat inflation over the long-term

Ben Yearsley — Mon, 13 May 2013 10:15:00 PDT

Ben Yearsley, head of investment research at Charles Stanley Direct, says that investors have to be prepared to lose money in the short-term if they want to keep up with rising prices in the long-run.

FTSE will reach all-time high in 2013, says Mitchell

Alex Paget — Mon, 13 May 2013 08:30:00 PDT

The RLAM manager says fast-improving sentiment will soon cause blue chips to begin investing their enormous cash piles – which is when the market will really take off.

How to invest with the professionals

Thomas McMahon — Mon, 13 May 2013 06:15:00 PDT

A trust of funds structure is one way to get access to the wide universe of private equity investments that are usually only open to the institutional investor.

Bargain trust swaps: UK equity income

Joshua Ausden — Mon, 13 May 2013 04:30:00 PDT

In the next article in the series, we highlight the most expensive investment trusts in the IT UK Growth & Income sector – and some cheaper alternatives for the bargain hunters among you.

How to take advantage of a commodities rebound

Harpreet Sajjan — Mon, 13 May 2013 03:30:00 PDT

Harpreet Sajjan, head of portfolio management at Platinum Financial Services, highlights the various options open to anyone who believes this out-of-favour sector is set for a reversal in fortunes.

Edelsten: The market I'm tipping for a Japan-style rally

Thomas McMahon — Mon, 13 May 2013 01:00:00 PDT

The Artemis manager says valuations in China make it extremely attractive at the moment, but that investors should look upon it as a developed economy instead of an emerging one.

Why bigger isn’t always better in the fund management industry

Joshua Ausden — Sun, 12 May 2013 09:30:00 PDT

Many IMA funds attract billions of pounds in assets simply because they are backed by large-scale pension schemes and are often default options for investors without the time or experience to build a portfolio themselves.

Five cheap core funds for the long term

Jenna Voigt — Sun, 12 May 2013 06:00:00 PDT

FE Trustnet looks at the funds that should be least affected by the eroding effect of charges over lengthy periods of time.

Three investment trusts for the extreme long term

Jenna Voigt — Sun, 12 May 2013 03:30:00 PDT

Hargreaves Lansdown's Richard Troue recommends three closed-ended funds for investors looking to put money away for their retirement.

How to avoid the pitfalls of a workplace pension

Jenna Voigt — Sun, 12 May 2013 00:00:00 PDT

Nexus IFA’s Kerry Nelson says investors need to ask themselves three key questions before moving a pension started at a previous employer into a new scheme.

Five high-growth funds for your pension

Alex Paget — Sat, 11 May 2013 09:30:00 PDT

A panel of industry experts tell FE Trustnet which funds they believe are ideally suited to a SIPP.

Ten reasons why pensions are fun

Thomas Stevens — Sat, 11 May 2013 06:00:00 PDT

“I hope I die before I get old,” sang Roger Daltrey to the "kids" when The Who were at the peak of their considerable powers. Yet most of the baby-boomer generation he was singing to – and anyone with half a brain cell, for that matter – found themselves wishing for the opposite, writes Thomas Stevens.

A step-by-step guide to get you through retirement

Alex Paget — Sat, 11 May 2013 03:30:00 PDT

Whitechurch’s Mark Stone reveals the simple but often overlooked points that every investor should take into consideration when putting together a pension plan.

What to do if you’re stuck in a dud pension

Thomas McMahon — Sat, 11 May 2013 00:00:00 PDT

Workplace pensions often leave much to be desired in terms of fund choice. FE Trustnet asks advisers whether it’s worth looking for an alternative.

Wealth manager fund picks: Vertem

Jenna Voigt — Fri, 10 May 2013 11:00:00 PDT

In the next article in the series, John Dance, chief investment officer at Vertem Asset Management, shares the firm’s top-five fund picks for 2013.

Nick Train: What could knock my fund off its perch

Thomas McMahon — Fri, 10 May 2013 09:30:00 PDT

The FE Alpha Manager is well aware that a rally driven by speculation could leave his fund trailing its rivals in the short term, but he says this would not make him change his strategy.

The high-yielding sector you should avoid at all costs

Alex Paget — Fri, 10 May 2013 08:00:00 PDT

Psigma’s Tom Becket says most UK commercial property funds yield less than 3 per cent after charges are taken into account, which combined with the limited potential for capital growth means they are unlikely to keep up with inflation.

Ruffer: Why we’re hanging on to our gold

Thomas McMahon — Fri, 10 May 2013 06:30:00 PDT

The group says it is using the “fundamentally useless” metal as insurance against the tail-risks that have not gone away.

Look to trusts for emerging markets exposure, says Gleeson

Joshua Ausden — Fri, 10 May 2013 04:30:00 PDT

The head of FE Research says that closed-ended vehicles are now on his radar because so many of Aberdeen and First State's emerging market funds are soft-closing.

Podger: Market correction has already happened

Alex Paget — Fri, 10 May 2013 03:30:00 PDT

The Fidelity manager says the hit taken by economically sensitive stocks over the past year represents a break in the pattern of market behaviour that had been constant since the financial crisis.

Don’t let an obsession with costs ruin your investment potential

Joshua Ausden — Fri, 10 May 2013 01:00:00 PDT

As with anything in life, buying a fund just because it is cheap does not guarantee you are getting a bargain, writes FE Trustnet editor Joshua Ausden.

Dampier: FTSE to hit 7,000 this year

Joshua Ausden — Thu, 09 May 2013 11:00:00 PDT

Hargreaves Lansdown’s head of research says pessimists who previously called an imminent crash are sheepishly returning to equities, which will push markets higher.

The most consistent trusts of the decade

Jenna Voigt — Thu, 09 May 2013 10:00:00 PDT

In the first of a four-part series, FE Trustnet takes an in-depth look at the trusts that have consistently returned more than their benchmark over the past 10 years.

MacKinnon: Why I refuse to hold Standard Life GARS

Thomas McMahon — Thu, 09 May 2013 08:30:00 PDT

Investors should be wary of over-complicated investment products, according to Thurleigh Investment Management’s Charles MacKinnon.

Bowie: Why I’m selling out of my own corporate bond fund

Alex Paget — Thu, 09 May 2013 06:30:00 PDT

The Ignis manager shares the view that yields are so low and prices so high in this area of the fixed income market that there is little to be gained from investing in it.

Bargain investment trusts for your portfolio

Thomas McMahon — Thu, 09 May 2013 05:00:00 PDT

The rallying market of the past year has caused discounts to narrow across the IT universe, but bargains are still available for those who know where to look.

Becket: The funds I’m using to play the commodities revival

Alex Paget — Thu, 09 May 2013 04:00:00 PDT

The manager of the Psigma Multi Asset Dynamic fund says the sector is attractive from both a valuation and diversification perspective.

The next big thing: UK Equity Income

Joshua Ausden — Thu, 09 May 2013 01:00:00 PDT

In the first article of a new series, we ask industry professionals to highlight future stars of the industry – first up, in the UK Equity Income sector.

What to do if your favourite manager retires

Jenna Voigt — Wed, 08 May 2013 11:00:00 PDT

Following football legend Alex Ferguson’s departure from Manchester United today, FE Trustnet looks at the options investors have when their beloved fund managers hang up their boots.

FE Alpha Manager Nickols: Why this rally is for real

Daniel Nickols — Wed, 08 May 2013 10:00:00 PDT

Old Mutual's Daniel Nickols says the rising market can be attributed to the fears that caused the crash in 2011 being proved unfounded.

The top-performing sector – that no-one’s buying

Alex Paget — Wed, 08 May 2013 09:00:00 PDT

The US small cap sector is among the five best performers over the short, medium and long term, but has just £1.7bn in AUM.

Funds that hedge the risk for you

Thomas McMahon — Wed, 08 May 2013 06:30:00 PDT

FE Trustnet looks at the funds that hold derivatives, adding an extra layer of protection against a market crash.

Little value in equity income, says Aberdeen’s Stout

Joshua Ausden — Wed, 08 May 2013 05:30:00 PDT

The star manager says that the oversold mining sector is one of the few areas that is attractively priced at the moment.

The star managers who stand out from the crowd

Alex Paget — Wed, 08 May 2013 04:00:00 PDT

With a growing number of experts highlighting a lack of value in the equity market following the recent rally, a contrarian manager with a wealth of experience is a very attractive prospect.

Threat of double crash in bonds and equities mounting, says Coombs

Thomas McMahon — Wed, 08 May 2013 01:00:00 PDT

The FE Alpha Manager says quantitative easing is increasing the correlation between asset classes and making protective diversification all but impossible.