It was an interesting quarter in currency markets where fear and the actions of central bankers resulted in significant shifts. Sterling suffered generally due to Brexit fears, while the dollar benefited from both a rise in interest rates from the Federal Reserve but also through a flight to safety as tensions mounted over global trade wars.
Can you have your cake and eat it? Here we search for funds with good risk characteristics and establish which funds offer the holy grail of low risk and high returns. For this purpose, a longer time period is required, so we look back over three years to the end of the quarter.
Measured to the end of Q2 2018, yet again no fund achieved the perfect mix of top of the sector 3-year returns with bottom of the sector 3-year volatility. Worthy of mention are the Man GLG Continental European Growth which achieved 3rd percentile returns and 98th percentile risk and the TB Evenload Income Fund achieving 5th percentile returns and 98th percentile risk.
In summary, we believe the performance numbers are – as always – well worth crunching to find trends, provide ideas, layer knowledge on how each fund performs and to generally provoke thought.
Of course, the analysis must be taken in context, and the qualitative work must be done to allow for fully informed judgments. We hope you found this review interesting, and if you have any questions, contact us.