Fund Objective

To obtain capital growth by investing in Continental Europe, including the Republic of Ireland, in any economic sector.

View on Past Performance

The Fund returned -19.7% over the last 12 months compared to -22.5% for the FTSE World Europe ex UK Index, in sterling terms. September has been tumultuous for financial markets with a raft of failures of financial institutions causing fears about systemic risk in the banking industry. Various governments across Europe have reacted by guaranteeing depositors and other lenders that their funds are safe.The importance of strong capital positions remains paramount. We have taken a new position in Banco Santander, which is one of the best placed banks to benefit from industry consolidation. We have also taken advantage of volatility in share prices in other industries to reduce some of our industrial holdings and added to some very well capitalised names.

Future Expectations

We remain focussed on high quality business franchises with strong long-term earnings growth potential, attractive cash flow characteristics and solid balance sheets, as we believe that these stocks will outperform over the long term.

Fund Details