Paul Burgin examines the Absolute Return sector, the second best-selling retail class of 2009. Managers are betting both ways on recovery as they wait for government action on interest rates, economic stimulus and sovereign debt.
This plays to the strengths of the Absolute Return sector which proved the second best-selling retail sector in 2009, maintaining its ranking behind Sterling Corporate Bond for the second year running. Net sales totalled £2.55bn. The offshore Threadneedle Target Return fund accounted for almost £1bn of that new money. Meanwhile, the Absolute Return Bond, its onshore cousin, added another £400m to the total, according to Financial Express Analytics. Standard Life and Newton also attracted substantial sums. Investors were tempted by the funds' abilities to make money in rising and falli...
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