23 March 2020 - Having started the year at 7,542, the FTSE 100 is today (23 March) struggling to hold 5,000. And, with daily headlines highlighting stock market plunges, it would be easy to become very disheartened about our investments.
But this would be to forget that not all markets – or indeed funds – are created equal: different assets, geographies and managers will produce different returns.
In an attempt to bring you some good news amidst all the bad, here are the top ten Chelsea Selection funds so far this year: each outperforming the UK stock market by 22% or more*.
|Fund||Sector||% return year to date*|
|1||Janus Henderson UK Absolute Return||IA Targeted Absolute Return||-1.72%|
|2||Invesco China Equity||IA China/ Greater China||-1.72%|
|3||TwentyFour Corporate Bond||IA Sterling Corporate Bond||-4.82%|
|4||Jupiter Strategic Bond||IA Sterling Strategic Bond||-5.04%|
|5||SVS Church House Tenax Absolute Return Strategies||IA Targeted Absolute Return||-5.85%|
|6||BlackRock UK Absolute Alpha||IA Targeted Absolute Return||-6.00%|
|7||Smith & Williamson Enterprise||IA Targeted Absolute Return||-6.59%|
|8||Artemis Strategic Bond||IA Sterling Strategic Bond||-7.09%|
|9||Royal London Corporate Bond||IA Sterling Corporate Bond||-7.09%|
|10||AXA Framlington Global Technology||IA Technology & Telecommunications||-7.72%|
Whilst this is obviously very short-term performance, it does illustrate the importance of diversification and we hope will bring some reassurance.
Don’t forget, there are only two weeks left of this current tax year, and the ISA allowance must be used – it cannot be carried forward. If you are unsure about investing at this time, your ISA allowance could be put into Cash and switched into a fund at a later date.
To make an ISA investment, please visit our dedicated log in page or call us on 020 7384 7300.
*Source: FE Analytics, total returns in sterling, 1 January 2020 to 20 March 2020
Past performance is not a reliable guide to future returns. You may not get back the amount originally invested, and tax rules can change over time. The views expressed are those of the author and do not constitute financial advice.