Posted inEquities

The great global equity fund flop

This brings up another important point about the big differential in focus for the global funds universe, after all not every fund takes the high-conviction ‘best ideas’ approach.

For example, pull up a table of the worst performers over three years and it is resources and energy focused funds housed within the Global funds sector that dominate. Similarly, look to the best performers over the same time period and it is funds with a healthcare or small-cap slant that feature highly.


Top-perf Global funds – 3-years


Bottom-perf Global funds – 3-years

Baillie Gifford Global Discovery 97 First State Global Resources  -36
Schroder Global Healthcare 93.1 M&G Global Basics 6.8
L&G Global Health & Pharmaceutical Index 90.1 First State Global Agribusiness 10.6
Old Mutual Global Equity  79.9 Aberdeen World Equity 15.8
Artemis Global Growth 73.2 Aberdeen Ethical World Equity  16.6

 Source: FE Analytics


However, there are some genuine multi-cap funds that deserve the plaudits, such as Ian Heslop and Amadeo Alentorn’s £276m Old Mutual Global Equity Fund and Peter Saacke’s £413m Artemis Global Growth, though these are hardly what you might call high-conviction portfolios.  

Perhaps it is these managers, more so than their more cavalier single-strategy peers, that should be celebrated as the true stockpicking stars.

A deeper look into the Global Equities sector features in the August edition of Portfolio Adviser, out now.



Part of the Mark Allen Group.