Fund of funds performance data

Over 12 months to December 13, 2004, it was ranked 15th out 39 funds, compared with its position at the bottom of the IMA Balanced Managed sector in the middle of November. Its improvement came after it returned 9.78% compared with the sector average (funds of funds only) of 9.41%.

A large part of this performance hike is a result of the fund’s move from being charged on a bid basis to an offer basis at the start of last month. However, it has performed strongly over three years and is seventh out of 34 funds. The fund currently invests in 18 underlying funds on multi- geographic basis, with Hughes aiming at steady second-quartile performance. At present, some 53% of the portfolio is invested in British equities, with 11% in Europe, 6.5% in America, 4.5% in Japan and 3.5% in the Asia Pacific region.

The top-performing fund in the sector over one year was again the Fitzwilliam Multi Manager fund. It returned 15.74% over 12 months and is also fourth over three years.

Another big climber in the sector over 12 months in December was the Gartmore Portfolio Balanced Strategy fund. Managed by Bambos Hambi, the fund – ranked 36th out of 39 in November – was last month ranked 18th.

Hambi’s unfettered portfolio returned 9.36% over the year, and is mainly invested in UK equity funds (56.5%). Overall, at the end of November last year, Hambi held some 24 equity funds in the portfolio and three fixed interest funds. His largest holding, at 9.5% of assets under management, was in the Artemis Income fund managed by Adrian Frost.

Over three years, the top-performing fund was again the CF Miton Strategic Portfolio, managed by Martin Gray. It returned 23.52% over the period – some 7.1% higher than the second-best performer, CF London York Select, which grew 16.42%. The sector average return over the period was 4.17%. However, outperforming its peers is given secondary importance in the Miton fund’s investment objective to achieving absolute growth through a low-volatility portfolio.

Schroder Managed Balanced (profiled opposite) is ranked 19th over one year and 12th over three years.Shows percentage returns, volatility and fund size for funds of funds in the IMA Balanced Managed unit trust/Oeic sector, bid-bid, net income reinvested, over one and three years to December 13, 2004.

Source: Standard & Poor’s