To provide competitive long term growth through direct and indirect investment principally in securities issued by UK and overseas financial institutions such as banking, insurance, financial services and property companies, and investment trusts.
August was a better month for global financials with the Fund up over 3% in sterling terms. At the time of writing we have just seen the huge bailout of Fannie Mae and Freddie Mac (fortunately not owned by the Fund), and await news on the future of Lehman Brothers (also not owned). Worries still therefore abound, but we believe the Fed actions will be part of the solution to the current problems and that opportunities remain for the Fund.Japan General Estates was sold as we now have doubts about the prospects of the company. Other than this transactions were light over the month.Pleasingly two of the more recent underperforming stocks, Friends Provident and Irish Life, were some of the biggest contributors as investors took a more sanguine view of the outlook for both companies. At the other end of the spectrum Japan General Estates proved a drag on performance and has subsequently been sold.
2,344.00p
