What's Hot What's Not: Korea Hot Again, US Growth Not [Fund Edition]

Thu 26 Feb 2026

By Joe Richardson

Access Level | public

What's Hot What's Not

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What's Hot

  • February was firmly an Asia story, with 9 of the 10 funds in the table from the region.

  • Korea continues its extraordinary run after years in the shadow of Japan and China, taking the top 2 places in the hot list.

  • Strong performances in Korea and Taiwan also lifted broader Asia Pacific funds, which account for another 4 positions in the list.

  • Parts of the Chinese market had a strong month, and we see a small cap tech-focused fund make an appearance. This suggests improving sentiment and growing investor confidence domestically.

  • A value focused Japan fund also makes an appearance following a strong month for Japan off the back of a general election.

What's Not

  • Higher valuation global growth strategies dominate the laggards and continue to struggle as money rotates to cheaper parts of the world.

  • US growth in particular continues to cool, with Baillie Gifford making 2 appearances - their American fund topping the dud list for February, down nearly 9%.

  • While the FTSE 100 continued to hit new highs, UK Smallers were broadly flat over the month. A few of the micro-cap funds struggled with Liontrust and Gresham House both down around 6%.

What's Hot

Name

Sector

Last Month's Performance %

Barings Korea Trust

Specialist

18.25

JPM Korea Equity Fund

Specialist

15.47

Polar Capital Smart Energy

Specialist

13.86

Matthews China Discovery

China/Greater China

13.59

WS Morant Wright Nippon Yield

Japan

13.26

Royal London Asia Pacific ex Japan Equity Tilt

Asia Pacific Excluding Japan

13.11

HSBC Pacific Index

Asia Pacific Excluding Japan

13.04

iShares Pacific ex Japan Equity Index

Asia Pacific Excluding Japan

13.04

L&G Pacific Index Trust

Asia Pacific Excluding Japan

12.73

Polar Capital Artificial Intelligence

IA Global

12.51

What's Not

Name

Sector

Last Month's Performance %

Baillie Gifford American

North America

-8.95

Robeco FinTech

Financials and Financial Innovation

-7.91

WS Gresham House UK Smaller Companies

UK Smaller Companies

-6.26

Pictet Longevity

Specialist

-6.23

Invesco Global Consumer Trends

Global

-5.99

Waystone Nutshell Growth

Global

-5.87

Baillie Gifford Long Term Global Growth Investment

Global

-5.86

Polen Capital Focus US Growth

North America

-5.45

Liontrust UK Smaller Companies

UK Smaller Companies

-5.42

Amundi MSCI China ESG Selection

China/Greater China

-5.39

Fund performance 01/02/2026 – 26/02/2026. 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.

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What's Hot What's Not

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