The FSA Spy market buzz – 6 September 2024
Machine learning Chinese investment, BlackRock’s AI patience, Time Magazine’s AI cover, happier staff equal better returns, do wealth managers add value? sexy legs and much more.
Given that the Investec fund aims to have low volatility, the product is expected to provide more downside protection to investors than the JP Morgan fund, according to Ng. Indeed, the Investec fund remained positive in 2018 and 2015 when the JP Morgan product and the sector were negative:
Discrete calendar year returns (%)
Fund / benchmark | YTD 2019 | 2018 | 2017 | 2016 | 2015 | 2014 |
Investec Global Multi-Asset Income | 3.73 | 0.53 | 5.97 | 4.32 | 0.92 | 3.71 |
JPMorgan Multi Income | 7.98 | -5.03 | 10.6 | 7.41 | -1.57 | 4.4 |
Sector : HKM Mixed Asset International TR in US |
8.42 | -9.37 | 17.08 | 1.57 | -4.42 | 1.11 |
However, given its defensive nature, it is not able to participate much during market rallies, unlike the JP Morgan fund.
“When the market is up, the JP Morgan Multi Income Fund tends to perform better,” he said.
In terms of volatility, the Investec fund is significantly less volatile than its sector, according to FE data. Ng added that it is even lower than the three-year annualised volatility of the Bloomberg Barclays Global Aggregate Index, which is at 4.71.
Three-year annualised volatility
Fund / Index | Volatility |
Investec Global Multi-Asset Income | 2.88 |
JPMorgan Multi Income | 5.21 |
Sector : HKM Mixed Asset International TR in US |
8.89 |
Machine learning Chinese investment, BlackRock’s AI patience, Time Magazine’s AI cover, happier staff equal better returns, do wealth managers add value? sexy legs and much more.
Part of the Mark Allen Group.