As explained in the latest monthly newsletter and my latest portfolio update, the big winners in August were those funds benefiting from a macro theme of slowing global economic growth (with a possible future recession) as the ongoing US-China trade war, global geopolitical concerns and Brexit began to bite.
If you look at the performance of funds from August’s BOTB the winners were those funds with significant exposure to fixed interest such as BNY Mellon International Bond Sterling (+3.09% in August), Janus Henderson Fixed Interest Monthly Income (+2.21%) and Vanguard LifeStrategy 20% Equity (+1.75%). At the opposite end of the spectrum tech funds struggled with Neptune Global Technology falling 4.68%.
Overall, the average return for the BOTB was -0.55%, which compares favourably against the average return of -2% for funds within the Mixed Investment 40-85% Shares sector.
August ended up playing out in much the same way as May did, with defensive equity sectors and assets outperforming.
Full article available exclusively to 80-20 Investor members.
To read the complete article, sign up for a free trial or log in below.
Start a free trial Already have an account? Log in
