Leading the way in terms of returns over the year to the end of the November was the AIC Japanese Smaller Companies sector, where the average investment trust rose 47.03%.
In second place was the European Smaller Companies sector which returned 43.77%, followed by the wider Japan sector in which the average trust has gained 363.65% year-to-date.
To put these returns in context, the best performing open-ended sector over the same time period was the IA China/Greater China sector, where the average fund was up 31.5%. This was followed by UK Smaller Companies (23.63%) and Technology and Telecommunications (22.78%).
According to the AIC, the average investment trust (ex VCTs) is up 14% over the same period.
The best performing individual fund was the Alternative Liquidity Fund, which sits in the Hedge Funds sector and rose an impressive 111.83%. In second place was the globally invested Independent Investment Trust, which was up 70.17%, followed in third spot by the JP Morgan Chinese trust, which gained 62.85%.
Commenting on the findings, Annabel Brodie-Smith, communications director at the AIC, said that while looking at short-term winners is interesting, investors need to have a balanced portfolio and a long-term view.
“One year’s underperformers can be the next year’s star performers, showing how important it is not to react to short-term market movements,” she said.
“The investment company sector houses a broad variety of sectors, risk profiles and geographical exposure, and investors need to consider their investment objectives and risk profile when looking at potential investments.”
