80-20 Investor Best of the Best Selection – October 2024 Update

Commentary

Of the 30 funds in September's BOTB selection 17 funds have retained their place after another volatile month for stock markets. Ultimately the BOTB finished more or less in line with its benchmarks, save for a dip on the last day of the month.

The chart above only looks at the average across all of the funds within the BOTB. The top-performing funds in September BOTB are highlighted in the table below and it is comprised mostly of funds with exposure to emerging market and Asian equities which benefited from the surprise China stimulus announcement.

Fund	September 2024 % return
Ninety One Asia Pacific Franchise	10.23
L&G Asia Pacific Equity Income	4.46
Man GLG High Yield Opportunities	2.3
FSSA Indian Subcontinent All-Cap	1.86
Man GLG Absolute Value	1.45

At the other end of the scale, the biggest losers were generally funds with exposure to UK equities which lagged other global markets, partly a result of the UK economic outlook becoming clouded by the prospect of a painful Autumn Budget.

Fund	September 2024 % return
L&G UK Equity Income	-1.63
CT Monthly Extra Income	-1.9
Fidelity Special Situations	-1.92
Schroder UK Smaller Companies	-2.16
Artemis UK Smaller Companies	-3.66

In terms of September's asset mix it is the most diverse we've seen in a long time, with Chinese equities gaining a small holding for the first time in years. UK equities remain the largest holding within the portfolio while US equity exposure falls once again (this time from 11% to 8%). Also European equity exposure has been reduced with the beneficiaries being Chinese and emerging market equities. The BOTB's full asset mix is shown later in this article. Overall the total equity exposure remains at 66%,

Below I list this month's selection in full with the 17 funds that regained their place in black while the new additions are in green. As usual, I have included the full list sorted alphabetically by name and then by risk category.

October's Best of the Best Selection - (A-Z by fund name)

(funds unchanged from last month are in black while new additions are in green):

Name	Sector	ISIN Code	Risk
abrdn Global Real Estate Share	Property Other	GB00B7MR5W47	Higher risk
abrdn High Yield Bond	Sterling High Yield	GB00B79RR984	Lower risk
Artemis UK Smaller Companies	UK Smaller Companies	GB00B2PLJL57	Higher risk
Baillie Gifford China	China/Greater China	GB00B39RML74	Higher risk
Baillie Gifford High Yield Bond	Sterling High Yield	GB0030816606	Lower risk
CT High Yield Bond	Sterling High Yield	GB0008371014	Lower risk
Fidelity Global Dividend	Global Equity Income	GB00B7778087	Medium risk
FSSA Asia Focus	Asia Pacific Excluding Japan	GB00BWNGXJ86	Higher risk
FSSA Indian Subcontinent All-Cap	India/Indian Subcontinent	GB00BDG1BM66	Higher risk
Invesco Asian (UK)	Asia Pacific Excluding Japan	GB00B1W7HW60	Higher risk
Invesco Global Equity Income (UK)	Global Equity Income	GB00B3FD1Z66	Medium risk
Invesco High Yield (UK)	Sterling High Yield	GB00B3RW7649	Lower risk
Invesco Japanese Equity Advantage (UK)	Japan	GB00B3RS8478	Medium risk
Invesco UK Opportunities (UK)	UK All Companies	GB00B1W7HM62	Medium risk
Jupiter India	India/Indian Subcontinent	GB00B2NHJ040	Higher risk
L&G Global Emerging Markets Index	Global Emerging Markets	GB00B4KBDL25	Higher risk
L&G Strategic Bond	Sterling Strategic Bond	GB00B1TWMW95	Lower risk
L&G UK Equity Income	UK Equity Income	GB00B6HBD759	Medium risk
M&G Global Dividend	Global Equity Income	GB00B46J9127	Medium risk
Man GLG Absolute Value	Targeted Absolute Return	GB00BF1X8084	Lower risk
Man GLG Asia (ex Japan) Equity	Asia Pacific Excluding Japan	GB00BMCMVT34	Higher risk
Man GLG High Yield Opportunities	Sterling High Yield	GB00BJK3W057	Lower risk
Premier Miton Diversified Growth	Mixed Investment 40-85% Shares	GB00B8BJV423	Medium risk
Premier Miton Global Infrastructure Income	Infrastructure	GB00BD3H9L21	Medium risk
Schroder High Yield Opportunities	Sterling High Yield	GB00B83RDY83	Lower risk
Schroder Income	UK Equity Income	GB00B3PM1190	Medium risk
Schroder Strategic Bond	Sterling Strategic Bond	GB00B7FPS593	Lower risk
Schroder UK Smaller Companies	UK Smaller Companies	GB00B76V7Z98	Higher risk
Thesis TM Tellworth UK Select	Targeted Absolute Return	GB00BNY7YM73	Lower risk
Vanguard FTSE UK Equity Income Index	UK Equity Income	GB00B59G4H82	Medium risk

October's Best of the Best Selection - (grouped by risk)

Here is October's shortlist grouped by their risk category (funds unchanged from last month are in black while new additions are in green):

Name	Sector	ISIN Code	Risk
abrdn High Yield Bond	Sterling High Yield	GB00B79RR984	Lower risk
Baillie Gifford High Yield Bond	Sterling High Yield	GB0030816606	Lower risk
CT High Yield Bond	Sterling High Yield	GB0008371014	Lower risk
Invesco High Yield (UK)	Sterling High Yield	GB00B3RW7649	Lower risk
L&G Strategic Bond	Sterling Strategic Bond	GB00B1TWMW95	Lower risk
Man GLG Absolute Value	Targeted Absolute Return	GB00BF1X8084	Lower risk
Man GLG High Yield Opportunities	Sterling High Yield	GB00BJK3W057	Lower risk
Schroder High Yield Opportunities	Sterling High Yield	GB00B83RDY83	Lower risk
Schroder Strategic Bond	Sterling Strategic Bond	GB00B7FPS593	Lower risk
Thesis TM Tellworth UK Select	Targeted Absolute Return	GB00BNY7YM73	Lower risk
Fidelity Global Dividend	Global Equity Income	GB00B7778087	Medium risk
Invesco Global Equity Income (UK)	Global Equity Income	GB00B3FD1Z66	Medium risk
Invesco Japanese Equity Advantage (UK)	Japan	GB00B3RS8478	Medium risk
Invesco UK Opportunities (UK)	UK All Companies	GB00B1W7HM62	Medium risk
L&G UK Equity Income	UK Equity Income	GB00B6HBD759	Medium risk
M&G Global Dividend	Global Equity Income	GB00B46J9127	Medium risk
Premier Miton Diversified Growth	Mixed Investment 40-85% Shares	GB00B8BJV423	Medium risk
Premier Miton Global Infrastructure Income	Infrastructure	GB00BD3H9L21	Medium risk
Schroder Income	UK Equity Income	GB00B3PM1190	Medium risk
Vanguard FTSE UK Equity Income Index	UK Equity Income	GB00B59G4H82	Medium risk
abrdn Global Real Estate Share	Property Other	GB00B7MR5W47	Higher risk
Artemis UK Smaller Companies	UK Smaller Companies	GB00B2PLJL57	Higher risk
Baillie Gifford China	China/Greater China	GB00B39RML74	Higher risk
FSSA Asia Focus	Asia Pacific Excluding Japan	GB00BWNGXJ86	Higher risk
FSSA Indian Subcontinent All-Cap	India/Indian Subcontinent	GB00BDG1BM66	Higher risk
Invesco Asian (UK)	Asia Pacific Excluding Japan	GB00B1W7HW60	Higher risk
Jupiter India	India/Indian Subcontinent	GB00B2NHJ040	Higher risk
L&G Global Emerging Markets Index	Global Emerging Markets	GB00B4KBDL25	Higher risk
Man GLG Asia (ex Japan) Equity	Asia Pacific Excluding Japan	GB00BMCMVT34	Higher risk
Schroder UK Smaller Companies	UK Smaller Companies	GB00B76V7Z98	Higher risk

The funds that dropped out of the Best of the Best Selection

For reference, the funds from last month that dropped out of the 80-20 Investor Best of the Best list are listed below:

Name	Sector	ISIN Code	Risk
Artemis Global Income	Global Equity Income	GB00B5N99561	Medium risk
Artemis Monthly Distribution	Mixed Investment 20-60% Shares	GB00B6TK3R06	Lower risk
Artemis SmartGARP European Equity	Europe Excluding UK	GB00B2PLJD73	Medium risk
AXA Managed Income	Sterling Strategic Bond	GB00B7H1PG56	Lower risk
CT Monthly Extra Income	Mixed Investment 40-85% Shares	GB0008370826	Medium risk
Fidelity Special Situations	UK All Companies	GB00B88V3X40	Higher risk
Jupiter Asian Income	Asia Pacific Excluding Japan	GB00BZ2YML94	Higher risk
L&G Asia Pacific Equity Income	Asia Pacific Excluding Japan	GB00B409KQ03	Medium risk
L&G Global 100 Index Trust	Global	GB00B0CNH056	Higher risk
L&G Global Technology Index Trust	Technology & Technology Innovation	GB00B0CNH163	Higher risk
Ninety One Asia Pacific Franchise	Asia Pacific Excluding Japan	GB00B1XFJD49	Higher risk
Schroder European Recovery	Europe Excluding UK	GB0007221889	Higher risk
Thornbridge Thornbridge Global Opportunities	Global	GB00B5TP8W88	Medium risk

The Asset mix

The current asset mix of the new Best of the Best Selection is shown below with last month's figures in brackets:

• Global Fixed Interest 20% (20%)
• UK Fixed Interest 5% (4%)
• Alternatives 9% (10%) - includes absolute return strategies
• North American Equities 8% (11%)
• Emerging Market Equities 13% (6%)
• Asian Equities 6% (9%)
• European Equities 5% (11%)
• Japanese Equities 4% (5%)
• UK Equities 24% (24%)
• Cash 0% (0%)
• China Equities 3% (0%)
• Property Equities 3% (0%)
• Other International Equities 0% (0%)
• Commodities and Energy 0% (0%)

80-20 Investor's outperformance continues

As you know the Best of the Best Selection is the shortlist of the best funds highlighted by our 80-20 Investor algorithm split into high, medium and low-risk categories. This shortlist is updated at the start of every month.

The green line in the chart below (click to enlarge) shows how a portfolio would have performed since inception (in August 2014) if it had been split equally between the Best of the Best Selection funds and then switched each month when each new shortlist was published. I have also charted the performance against that of the average cautious managed fund (blue line) and the average managed fund with up to 85% equity exposure (red line). In reality, the 80-20 Investor's asset allocation typically lies between these two as it usually has 40-60% exposure to equities at any one time. So they provide a good comparison of how fund managers with a similar remit have fared over the same period.

As you can see, since launch in August 2014 the 80-20 Investor BOTB has outperformed the average managed fund and the market.

 

 

All performance figures are net of fund charges. The material in any email, the MoneytotheMasses.com website, associated pages / channels / accounts and any other correspondence are for general information only and do not constitute investment, tax, legal or other form of advice. You should not rely on this information to make (or refrain from making) any decisions. Always obtain independent, professional advice for your own particular situation. See full Terms & Conditions, Privacy Policy and Disclaimer.

Neither MoneytotheMasses.com or 80-20 Investor nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
Funds invest in shares, bonds, and other financial instruments and are by their nature speculative and can be volatile. You should never invest more than you can safely afford to lose. The value of your investment can go down as well as up so you may get back less than you originally invested. Tax rules can change and benefits depend on individual circumstances.
Information provided by MoneytotheMasses.com or 80-20 Investor is for general information only and not intended to be relied upon by readers in making (or not making) specific investment decisions.
Appropriate independent advice should be obtained before making any such decisions. Leadenhall Learning (owner of MoneytotheMasses.com or 80-20 Investor) and its staff do not accept liability for any loss suffered by readers as a result of any such decisions.
The tables and graphs are derived from data supplied by Trustnet. All Rights Reserved.