What’s Hot, What’s Not: Growth Jumps, China Slips [Fund Edition]

Do revisit some of the Growth vs Value blogs, particularly which investment style should work best in the years just ahead e.g. Best Value Funds Update, which in turn links off to a series of earlier research on the subject.

China features in “What’s Not”, but nothing terrible.  The one Japan entry is very interesting.

What’s Hot

• The question is whether these funds have just performed a dead cat bounce, or something more meaningful.
• It is difficult to know, but these are how far they have fallen after taking into account the bounce of the last month…
• BG European still down 50% from the February 2021 peak
• Martin Currie UK Small still down 38% from the September 2021 peak
• Martin Currie European Unconstrained is still down more than 20% from the 2021 peak
• Abrdn UK Real Estate, down 30% from peak
• Latter is more obviously linked to expectations of interest rates peaking…
• …but a recession of some degree still lies ahead.

What’s Not

• Four China funds are the biggest feature, though not too terrible, none down more than 3%...
• …some China funds are very tempting.
• The one Japan fund looks like a buying opportunity…
• …Value-style, mid-caps, decent yield, silly cheap NAV (more here)
• There are some more eclectic funds (Absolute Return and Alternatives) but none are of particular note

What’s Hot

What’s Not

Fund performance 01/11/2023 – 30/11/2023. Funds <50m in size and ETFs excluded from the above research.

NOTE

We do this blog to simply highlight short term trends. These are not recommendations.