Fund managers are sacrificing long-term gains for capital survival

Painful to invest long-term now

Eve Maddock-Jones
clock • 4 min read

Fund managers are weighing up long-term gains against preserving investor capital as equity markets remain extremely volatile.

A core mantra of investing is to take a long-term time horizon and forget about the short-term noise, be it trade wars, poor quarterly reports or political meltdowns. While this is true, James Penny, UK CIO at TAM Asset Management, pointed out that loading up on assets that will be the "next Terry Smiths" are not the ones that will protect the clients who are now at the end of their investment time horizons. Emergency interest rate hike: 'Overreaction' or too little too late? He told Investment Week that one challenge all managers face is balancing a portfolio for a variety of diff...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now


Already an Investment Week


More on Investment

Stories of the Week: Rishi Sunak confirms general election; Hargreaves Lansdown rejects bid; FCA approves L&G's first private markets LTAF


General Election; Hargreaves Lansdown; Legal & General: The biggest stories from the world of investment and asset management this week

Sarka Halas
clock 24 May 2024 • 1 min read
Investment Company of the Year Awards Winners Interview - Law Debenture

Investment Company of the Year Awards Winners Interview - Law Debenture

clock 23 May 2024 • 2 min read
Partner Insight: High yield fundamentals

Partner Insight: High yield fundamentals

Elevated yields and rising coupons look attractive, but credit spreads are relatively tight. This environment warrants both caution and optimism.

Thomas Hanson, Head of Europe High Yield @ Aegon Asset Management
clock 23 May 2024 • 1 min read