Still, not everyone has had it their own way. Compare Barnett’s performance to JO Hambro’s Clive Beagles and James Lowen, who adopt a more contrarian bent for JOHCM UK Equity Income.
The have suffered from an underweighting to defensives and an overweight position in oil and mining – since the end of August the fund is down 2.7%.
“We have built our oil and mining overweight as valuations in this part of the market have fallen to multi-decade lows on numerous measures,” the managers said in a recent update.
“Along with the valuation angle, our attraction here is based on the market overlooking management actions on capital and operating expenditure.”
They added: “The fund is full of very cheap, well-placed companies. This is particularly true in small caps where we remain at our highest weight since launch in late 2004; our mid-cap exposure, in contrast, is currently somewhat modest.”
