January's Fund Edition here
What’s Hot
- Latin America has had consecutive strong months, previously up 3.80% in December and now up 5.49% throughout January.
- Unsurprisingly Commodity/Natural Resources features as well. The combination of continued inflationary pressures and the rising threat of a conflict in Eastern Europe is helping to push the prices of many raw materials up.
- Two low-risk sectors make up the 3rd and 4th spots in the shape of Global EM Bonds (Local Currency) and UK Direct Property.
- When the Short-Term Money Market sector (essentially another name for cash deposits) appears in the Hot table, you know it’s been a tough month for mainstream stock markets!
What’s Not
- The US dominates here, the bottom three sectors are all US centric and the period of underperformance for US stocks stretches on once more.
- Japanese Smaller Companies, down 9.79% in January, also features. The worst fund, Baillie Gifford Japanese Smaller Companies, is down over 18% for the month.
- European Smaller Companies complete the dud sectors for January, down an average of 9.21%.
- The message? Risk is being taken off the table.
What’s Hot
|
Name
|
Last Month Performance %
|
|
IA Latin America
|
5.49
|
|
IA Commodity/Natural Resources
|
1.66
|
|
IA Global EM Bonds Local Currency
|
0.63
|
|
IA UK Direct Property
|
0.53
|
|
IA Short Term Money Market
|
-0.02
|
What’s Not
|
Name
|
Last Month Performance %
|
|
IA North American Smaller Companies
|
-10.58
|
|
IA Healthcare
|
-10.42
|
|
IA Technology and Technology Innovations
|
-10.19
|
|
IA Japanese Smaller Companies
|
-9.79
|
|
IA European Smaller Companies
|
-9.21
|
Sector performance 01/01/2022 – 31/01/2022. No size filter applied. All Investment Association sectors considered.
NOTE
We do this blog to simply highlight short term trends. These are not recommendations.