Letter to shareholders Value Equity Q4 2012

After more than four years of hunting for value in the wake of the global credit crisis, the portfolio of our Global Value Fund is – unsurprisingly – overweight in the most neglected and unpopular areas of the market, where we see the most compelling bargains.

Given that 2012 was another year of roller-coaster volatility and macro-induced risk-on/risk-off swings, we acknowledge that it has been an uncomfortable 12 months, with the fund well ahead of index early in the year, but closing behind. But there were two good spells – one at the beginning and one at the end of the year – when we saw sharp outperformance from the value strategy and our fund, and which are encouraging for the future.

View full 2012 review...