Hot funds this month
The most notable aspect of the “Not Hot” sectors is that all, but for China, still managed gains in the month, when the mood turned more positive on a new expectation that interest rates will fall more quickly than previously expected.
What’s Hot
- The Technology bounce was in line with the broadly based rise in Growth-style funds in all sectors. Bubble valuations persist, so be wary.
- Smaller companies are interesting…
- …UK and European smallers are still 24% and 18% below their respective 2021 peak…
- …So, is the bounce of the “dead cat” variety? Or something longer lasting? The jury is out.
What’s Not
- This is a positive listing, with only one sector down marginally.
- China remains on our radar, but is not breaking higher as yet.
- It is surprising to see these bond sectors showing. Expect these to turn up if the optimism on rates is sustained.
- Japan is undoubtedly a “buy”. If you made 1.85% per month each month in the next year you would be very content!
What’s Hot
|
Name
|
Last Month's Performance %
|
|
Technology & Technology Innovation
|
9.10
|
|
European Smaller Companies
|
9.00
|
|
Europe Excluding UK
|
7.33
|
|
Europe Including UK
|
6.86
|
|
UK Smaller Companies
|
6.68
|
What’s Not
|
Name
|
Last Month's Performance %
|
|
China/Greater China
|
-0.03
|
|
Global EM Bonds Blended
|
1.39
|
|
Global Bonds
|
1.60
|
| Japan |
1.85
|
|
Targeted Absolute Return
|
1.97
|