Fund Objective

This Fund aims to achieve long-term capital growth.

View on Past Performance

Global equity markets, as measured by the MSCI World Index ex UK Index fell by 9.5% in Sterling terms during September. The Fund underperformed its benchmark during the month. Wells Fargo was the largest positive contributor to performance in September, as the stock rebounded at the end of the month. Morgan Stanley, in which the Fund is overweight, was one of the largest detractors to performance during the month.Following the collapse of Lehman's, the market focused on other financials they felt could be impacted by the continued credit crisis. The company's share price was down over 40% in Sterling terms during the month. Not owning shares of troubled American International Group (AIG) contributed positively to performance on a relative basis. Shares of AIG fell significantly in September. The company was bailed out by the U.S. Federal Reserve earlier in the month.

Future Expectations

The current dislocation in financial markets is unprecedented. We believe that the actions of the Central Banks and US Treasury will lead to the normalisation of credit markets and ensure that the necessary deleveraging of the financial system is as orderly as possible.

Fund Details