Russell shorts mining sector

Cazenove Absolute Target manager sticks to contrarian strategy despite some losses

Cazenove Absolute Target manager Tim Russell is continuing to short mining stocks on the belief the sector remains poor value. Despite the contrarian strategy costing the fund 0.75% in performance last month, Russell is continuing to hold short positions in miners, which he has done since 2006. He admits this approach was only beneficial during the H2 of last year, but is convinced the argument for shorting the sector is stronger now than three years ago. Although an acceleration in the Chinese economy in the first four months of this year and the nation's rising consumption levels ha...