Dalton Strategic Partnership (DSP), says that the Melchior UK Opportunities Fund (MUKOF) launched in May 2006, has outperformed the index and peer group by 8.1 percent since inception by returning 10.9 percent against the FTSE All-Share Index of 2.8 percent. During November, MUKOF returned +5.6 percent against the benchmark return of -0.3 percent. Importantly, the volatility of the fund remains below the benchmark and peer group.
“With continued M&A activity, plentiful liquidity and a return of risk appetite, the UK market will provide lucrative opportunities for stock picking in 2007,” says Glen Pratt, the Fund Manager at MUKOF. “I believe the fund will continue to offer more than +25 percent absolute returns on a two year view”.
“Despite a very challenging year which saw two big market shakeouts, the first in May/June and the second in August/September, our managers have delivered absolutely outstanding performance,” adds Andrew Dalton, a Managing Partner at DSP. “Although volatility appeared to be low, funds and stocks that did well in 2005 bore the brunt of the shakeouts. It gives me pleasure seeing our most mature products stick to their guns (conviction) and they are now reaping the benefits for doing so. During the course of the year we launched a number of funds which have genuinely caught the imagination and mood of markets. Our Melchior Japan Advantage is 5th out of 223 S&P Micropal Japan Large Cos Registered Investment Funds, our UK Opportunities 2nd out of 329 S&P Micropal UK All Companies Registered Investment Funds. This gives me confidence for our investors and the future.”