Fund Objective

The Fund aims to achieve long-term capital growth.

View on Past Performance

UK equities started July strongly, largely ignoring what was happening in the credit markets and the impact of excessive sub-prime mortgage lending in the US. However liquidity fears and the wider credit spreads caught up with equities on 24th July, with shares falling sharply over a four day period.Fund performance was mixed. Areas of weakness were the large overweight position in Vodafone, which fell 7.5% in July, and the bigger underweight in the banks sector, which staged a bounce towards the end of the month. There was a divergent experience in mining - Xstrata produced a strong contribution for most funds, whilst Lonmin disappointed after cutting its sales forecast.Positive names included long-term holdings Carphone Warehouse, which impressed with its broadband sales figures, and BAE Systems.

Future Expectations

The fund is well-positioned for uncertainty in the market and as a result we are unlikely to change style dramatically. We will use the market correction to pick up some of our favoured stocks that have been unduly weak. Our themes remain largely unchanged as we continue to seek out sustainable growth stocks and unique assets.

Fund Details