Consumer GoodsThe investment process used on this Fund means that a large number of stocks are held in the Fund, and activity in these stocks tends to be incremental rather than buying or selling significant holdings. AXA Rosenberg believe that the economic value of any company is driven largely by its ability to generate future earnings and its current investment value is a combination of the price of both this future earnings potential and the company's near-term earnings growth.Earnings Forecast Model: This model combines numerous fundamental variables related to earnings change with variables that capture investor enthusiasm for companies. Together, these data are used to predict earnings changes over the following 12 months. The FTSE Europe ex UK fell by 15.3%. European markets suffered as economic activity dipped sharply and company news was mostly negative. Losses were severe as markets remained volatile, with the brightest areas remaining Switzerland.In the financial sector, France's main banks soared after the government said it would inject €10.5bn into the six largest players in the form of loans to shore up their balance sheets. In economic news, the influential Eurozone purchasing managers' index fell sharply. Figures showed the European manufacturing sector to be in deep recession, while the services sector dropped.The ECB cut rates to 3.75% as part of the concerted action of the world's leading central banks, but investors expect further cuts in the coming months.
