Monthly Update
31 May 2021

Monthly Update Cover

The Fund returned -0.14% during the month, outperforming the IA Flexible Investment sector average return of -0.21%.

Equity markets were generally positive during the month when measured in their local currencies. European equities proved to be strong performers, helped by the performance of cyclical stocks and their vaccination program continuing to gather pace. Within the UK it was small cap stocks which proved the better performers, supported by the improvement in the outlook to the economy, to which their fortunes are closely linked. The UK fixed income markets saw positive returns across gilts, investment grade and high yield bonds. Gilts were the strongest performers, with yields declining from recent highs as some of the inflation concerns receded, mainly due to the US Federal Reserve remaining resolute that higher inflation would prove transitory.

In the Fund, it was those holdings with exposure to gold and silver that performed the strongest during the month, in particular the Jupiter Gold & Silver fund which predominantly has exposure to gold and silver miners. Exposure to the WisdomTree Physical Silver ETF was also beneficial. Those equity funds with a value style bias also performed well as economies continued to show signs of a strong recovery.

During the month we saw net cash inflows into the Fund. These were invested so as to preserve a cash position below the neutral weighting. There was a preference to top up exposure to those equity funds with a value style bias across the UK, Europe ex UK, Emerging Markets and Japan.

This article is for information purposes only and should not be construed as advice. We strongly suggest you seek independent financial advice prior to taking any course of action.

The value of this investment can fall as well as rise and investors may get back less than they originally invested. Past performance is not necessarily a guide to future performance.

The Fund is suitable for investors who are seeking to achieve long term capital growth.

The tax treatment of investments depends on the individual circumstances of each client and may be subject to change in the future. The above is in relation to a UK domiciled investor only and would be different for those domiciled outside the UK. We strongly suggest you seek independent tax advice prior to taking any course of action.

Past performance is not a guide to future performance.

Sign up today!

To receive notifications on new market insights published to our blog, please complete the below form.

You can unsubscribe at any time by emailing enquiry@lowes.co.uk or by clicking the ‘unsubscribe’ link at the bottom of each email.

Full details of how we use and secure your personal information and how to update your marketing preferences can be viewed in our Privacy Policy