Top-performing funds of 2012
FE Trustnet looks at the funds short-term investors would have been best off backing in January.
By Joshua Ausden, News Editor, FE Trustnet
Wednesday June 27, 2012
Biotech funds dominate the list of top-performing open- and closed-ended funds so far this year, according to
FE Trustnet research.
The
AXA Framlington Biotech and Pictet Biotech funds are the front runners in the open-ended universe, with returns of 21 and 21.41 per cent respectively, while The Biotech Growth Trust is among the five top-performing investment trusts.
Only specialist trusts including the Ingenious Media Active Capital IT, which has an FE Risk Score of 389, have returned more.
Performance of funds vs indices in 2012
Source: FE Analytics
Given the volume of biotechnology, genomics and medical research companies in North America, this is where the majority of AXA Framlington Biotech and Pictet Biotech's holdings are located, although they also have some exposure to Europe.
Whereas global markets suffered a correction in May following a strong run in the first quarter of the year, biotech companies have gone from strength to strength.
One of the biggest risks facing the pharmaceutical industry at the moment is expiring patents. As a result, biotech firms are being called upon to provide new streams of revenue.
A flurry of mergers & acquisitions activity and a growing number of FDA approvals have also contributed to the industry's recent boom.
Ten top-performing open-ended funds of 2012
Source: FE Analytics
The rest of the top-10 is dominated by UK-focused equity portfolios – particularly those with a small and mid cap bias.
FE Alpha Manager Mark Martin’s
Neptune UK Mid Cap fund – tipped by many to be a star of the future –
Baillie Gifford British Smaller Companies and James Hanbury’s long/short
CF Odey UK Absolute Return fund have all returned in excess of 15 per cent.
The FE five crown-rated
Unicorn UK Income fund has been the strongest performer in the IMA UK Equity Income sector.
FE Alpha Manager John McClure has delivered 9.91 per cent since January, pipping rival Giles Hargreave’s Marlborough Multi Cap Income fund to the post.
It is the same old story in the emerging market league tables, with four of the five best performers over the six-month period managed by either Aberdeen or First State.
Aberdeen Global Asian Smaller Companies – the best-performing fund of the last decade – tops the 2012 table, with returns of 10.81 per cent.
With returns of around 12 per cent, the
Invesco Perpetual European High Yield and Tactical Bond funds have been the best performers in the fixed interest space, while BNY Mellon Global Property Securities tops the total return table for property.
The other end of the scale is dominated by commodities funds, with the likes of t1ps Smaller Companies Gold, MFM Junior Gold and Schroder ISF Global Small Cap Energy all down at least 20 per cent so far this year.
Of the 31 funds that have lost more than 10 per cent in 2012, 24 are focused on commodities.
Performance of funds vs index in 2012
Source: FE Analytics
The Manek Growth fund once again finds itself at the bottom of the UK fund tables, while it has also been a difficult period for FE Alpha Manager Jan Luthman’s CF Liontrust Macro UK High Alpha and Adam Parker’s Majedie UK Equity, which are down 6.98 and 6.56 per cent respectively.