Fund Objective

The Fund aims to achieve long term capital growth.

View on Past Performance

Global markets continued to fall on tightening credit and deleveraging. The MSCI Asia Pacific ex-Japan Index declined 16.7% in sterling terms underperforming the MSCI World Index which fell 10.6%. The fund outperformed its benchmark index and peer group. India and South-East Asia, apart from Malaysia, underperformed while Greater China outperformed but still fell in absolute terms. Performance was aided by Hong Kong developer Hang Lung Properties which rebounded strongly from oversold levels.Newcrest Mining (Australia: Materials) declined with the gold price. During the month we bought China Mobile (China: Telecom Services) which is attractively valued and has a high dividend yield. We sold Cipla (India: Health Care) on concerns about its valuation and management remuneration package.

Future Expectations

We are using weak markets primarily to add to existing holdings, but are also buying one or two new positions mainly in Chinese companies, which we regard as offering exceptional long-term potential.

Fund Details