LONDON (Citywire) – Research by Insight Investments’ multi-manager Patrick Armstrong challenges the commonly held perception that the inbuilt diversification from fund of funds (FoFs) offers investors good returns at a lower risk than funds that hold stock directly.
Armstrong, who has been compiling the analysis on a monthly basis since he joined Insight in November 2003, measures risk against returns in the three key FoFs sectors: cautious managed, balanced managed and active managed.
Armstrong and Dr Ana Cukic-Monro run several funds in these sectors including the Insight Investment UK (Insight Investment UK Portfolio Acc) and UK Equity Income Portfolios (Insight Investment UK Equity Income Portfolio).
