Portfolio Adviser fund AwArds 2008 CAtegory winner
Fund Awards 2008
WINNER
Nevsky Global Emerging Markets Fund
“
The Nevsky Global
Emerging Markets
Fund has consistently
delivered strong returns
over a long period
from a core portfolio
of larger companies.
Martin Taylor and
his huge team have
managed to successfully
navigate bull and
bear markets without
exposing investors to
unnecessary risk
”
Marcus Brookes, PA Fund
Awards judge
Emerging market equities
October was a shocking month
for most, with the MSCI World
Index falling by 19%.
The MSCI Emerging Markets
Index, however, fell by 27.5%,
the steepest monthly decline
for over a decade (since
August 1998).
The Nevsky Global
Emerging Markets Fund is
managed on a team-based
approach, with their collective
analysis seeing currency
as a main driver towards the
end of the third quarter when
returns were at their weakest,
citing particular problems
in Iceland, the Baltic coun-
Annual discrete performance
% 20
40
30
10
0
Nevsky Glbl Emg Markets
Source: Morningstar
Quartile performance: 1 Jul ’05 – 1 Jul ’08
1st q’tile
2nd q’tile
3rd q’tile
4th q’tile
Q3
’05
Q4
’05
Source: Morningstar
Q1
’06
Q2
’06
Q3
’06
Portfolio ADViSEr SuPPlEmEnt [www.portfolio-adviser.com] DEcEmbEr 2008
nevsky global emerging Markets vs index
%
120
100
80
60
40
20
0
Jul ’05 Jan ’06
Source: Morningstar
M’star UK Eq Glbl Emg Mkts
fund facts
tries and Hungary. Countries
like China also showed poor
Q4
’06
Nevsky Global Emg Mkts
Year ending Jun ’06
Year ending Jun ’07
Year ending Jun ’08
Jul
Fund name: Nevsky Global Emerging Markets Managers: Katie Blacklock,
Howard Thomas, Mike Sell Launch date: 4 Apr ’03 Fund size: £355.5m
Initial charge: 5% Annual charge: 1.75% Min initial investment: £15,000
M’star rating: HHHHH
Q1
’07
Q2
’07
Q3
’07
Q4
’07
Q1
’08
Q2
’08
M’star UK Equity Global Emg Mkts
Jan ’07
Jul
returns over this period,
although its huge foreign
exchange reserves mean that
it will not have to go cap in
hand to its central bank and,
if anything, Nevsky suggests
that the focus is now on
how to stimulate the domestic
economy in the face of slowing
exports.
According to Nevsky’s
global emerging markets
team: “Given the firepower
that China has, we expect to
see more and maintain our
overweight in this market.
“Elsewhere, we continue
to favour those countries with
strong external financing and
liquidity positions, such as
Mexico, Russia and Brazil, at
the expense of those with
heavy reliance on currently
skittish credit markets.”
The fund is fully invested,
arguing that emerging markets
have been undersold and historically
cheap.
Jan ’08
Jul
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