Market Update 2 April 2025

I have been asked about China funds as China has been performing well lately. 

All the best performing funds in the UK through February 2025 were in China.  (March results are not available at the time of writing)

Before you say "Wow! I would like some of that", let's look a bit deeper.  For example, the top performing fund's performance is as follows:

It is pretty clear that anyone investing four years ago would not have been happy.  And whilst there is recent growth, it is over a short period and this is not what I would look out for.

Every investment is a recommended ‘hold’ for three to five years.  Whilst funds do go up as well as down, I do not like to see this amount of volatility and so I stick to a balanced portfolio on the premise that there is less volatility providing steady growth. This fund is also a risk rating of 7 on a scale of 1-7.

Every one of the top performing funds in February are either High Risk or Adventurous.

I make sure that every portfolio has collectives by Fund Managers who typically hold 1,000s of funds in their one ‘Managed Fund’.  You will note that one of my preferred/favourite Fund Managers are Guinness Asset Management who have again appeared in the top ranking Fund Managers League, 8th out of 79.

Percentages below refer to how many of their funds have that rating and not performance.

Each portfolio holds funds which have a global presence, so you are not exposed to results in a specific geographical region.  Also, by holding collectives which are multi-asset you are not exposed to one type of investment, although they are predominantly equities which generally rise and fall in tune with the markets without mirroring them exactly.  It is also important to make sure you are not exposed to a particular industry such as pharmaceuticals. 

To achieve all this and ensure you are not exposed to specific sectors, regions or industry I always promote well known fund managers and steer clear from ‘alternative investments’ which have tarnished this industry many times over the years.  Every investment recommended will be compliant with EU MiFID II regulations which offers the best investor protection available.