The New Star Managed Portfolio fell 12.4%* during the third quarter of 2008 while the IMA Balanced Managed sector lost 8.9%*. During what was a difficult quarter, weak relative returns came from BlackRock UK Dynamic, MFM WH Ireland UK Growth, BlackRock World Mining Trust and Earth Energy. There was, however, one bright spot with Hain Capital Value, which produced positive returns during the period.Over the quarter, the portfolio sold Atlantis Indian Opportunities, the wheat exchange-traded fund and Standard Life Higher Income. Weightings were trimmed in Atlantis Asian Special Situations, BlackRock World Mining Trust and Threadneedle UK Equity Alpha Income. Cash was re-invested in LeggMason Value and Marlborough UK Equity Income and a new position was opened in Winton Futures.