CF Odey European Trust, the Europe ex-UK unit trust, has achieved -1.07% this year against a fall in the FTA Europe ex-UK index of -21.67% and claims to be displaying the best risk profile of the 107 funds.
Hugh Hendry, Fund Manager and Partner, said:”This year has been about one thing, risk. There is just too much market risk. That is to say, equities are overvalued. Accordingly, we have gone to great lengths hiding from the benchmark index, and its constituent stocks. In doing so we have found a collection of wonderfully eclectic businesses sporting safe valuations and enticing prospects for the future. This has proven a rewarding strategy, allowing us to outperform in both down and, latterly, up markets. What now? We believe that this rally could persist into the first quarter of the new year. However, the world is changing. It is our contention that the determination of the authorities to stave off the threat from deflation will ultimately prove successful. We are therefore investing in neglected industries such as pulp & paper, construction and commodities, which could be the first to experience better terms of trade.”
David Helm, Marketing Director, said:”CF Odey European Trust has produced an excellent return with much reduced risk. It is precisely the fund that investors are looking for, we are confident that the fund can maintain its top ranking over one and five year periods.”