The Fund's managers purchased Randstad, a Dutch staffing company with good prospects and exposure to the German market. The managers also added to the holding in Kon KPN NV on its cashflow prospects and evidence that the company's management is active in share repurchases. Sales included Eni, an Italian oil company. Although its dividend yield of 5% appears attractive, the Fund's managers have some concerns.The European Fund was marginally ahead of the index over the month. The main contributors were holdings in the financials and materials sectors. However, exposure to the consumer staples and industrials sectors detracted slightly from returns. Other negative influences included the limited exposure to consumer discretionary sectors.The best performing stocks included the materials company Rautaruukki Oyj. Meanwhile, the decision not to hold Deutsche Bank, which suffered a fall in share price despite posting higher profits, also had a positive impact. The Fund benefited from holding Allianz, which announced strong resultsAlthough European markets suffered from the same volatility that was a feature of those elsewhere at the end of February, there are still good investment opportunities. Companies which have undertaken restructuring programmes appear to offer the best prospects for growth in their profits.
1,000.04p
