Selectors prefer growth GEM funds but value performs better
European fund selectors expressed a preference towards growth emerging market funds over value during the last six months. However, Europe’s top performing funds allocated a greater weighting towards value stocks during the period.
US equity large cap funds preferred but small caps edge ahead
Strong gains in US equity markets over the past year have encouraged investors to target the asset class in 2018, but while most prefer large cap funds it’s the small caps that have generated the better returns.
Why European investor performance trailed the US and Latam
The depreciation of the US dollar led to European investors lagging behind their US and Latin American counterparts in terms of performance in 2017 despite making the right call about being overweight European equities, according to Natixis Investment Managers.
Click through the gallery to find out what asset allocation looked like for European, US, and Latin American investors in 2017.
Popularity of absolute return strategies could signal further volatility
Across Europe absolute return strategies are the asset class most fund selectors wanted to buy even before the recent rise in volatility in bond and equity markets, although the Dutch are not particularly keen on the strategy.
Lure of European equity among selectors down before selloff
European equities already recorded the largest negative shift in sentiment, along with commodities, by pan-European fund selectors even before the sharp selloff experienced in the markets this week, according to Expert Investor research.
French asset manager launches two hedged income Sicavs
Paris based VIA AM has launched two hedged income equity Sicavs with Société Générale that use accounting technology to find companies to invest in and options to reduce risk.
European fund demand for equities expected to peak in 2018
European asset managers’ appetite for equities is at its highest since March 2015 with the majority of fund managers responding to Bank of America Merrill Lynch’s latest fund manager survey reporting an overweight allocation despite seeing the asset class as expensive.
Investors switch to trackers in European equity markets
Following the French elections, investors have swapped actively managed single country equity funds for index trackers.