Fund Objective

To achieve long term capital growth.

View on Past Performance

The FTSE World Europe ex UK index fell 13.0% in September as equity markets reacted to the worsening banking crisis. The crisis has led to the near paralysis of the debt and money markets and the economic outlook appears to be deteriorating too, as governments and central bankers struggle to find a way to alleviate the stress on the financial system.Some Northern European economies should prove relatively resilient to the economic crisis but countries, such as Spain, Portugal and Ireland, are suffering from housing crashes and high debt levels.

Future Expectations

We remain cautious on the outlook for the equity markets and will continue to hold higher than normal cash balances. The equity market remains volatile but we continue to look for attractive investment opportunities on market weakness. The Fund sold a holding in AXA as we sought to reduce our exposure to the financial sector.

Fund Details