High turnover of funds giving lift to Jupiter Fof

Jupiter has identified high portfolio turnover within its Merlin Growth Portfolio fund of funds (Fof...

Jupiter has identified high portfolio turnover within its Merlin Growth Portfolio fund of funds (Fof) as responsible for just under 25% of the total return it produced during the course of 2003. The Fof had 150% turnover during the course of the year and Algy Smith-Maxwell, member of the Jupiter Independent Funds team, said this was responsible for a 7.5% gain within an overall return of 33%. Smith-Maxwell said: "If we had left the portfolio alone, a buy and hold strategy, it would only have returned 26%." The group attributed the high return to three key asset allocation decisions duri...