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Is your investment one of these dogs?

dog investment fundsHave you had a look at your investments recently? You should be quids in: the stock market has been riding high (although it has come off recently) and shares have done well. If you’ve lost money, something isn’t right: you could be in a “dog” fund.

Twice a year, online fund service Bestinvest crunches the data to find out which are the worst performing investment funds in its “Spot the Dog” survey. It’s a useful monitor to see if your money is being run by a manager who receives wolf whistles rather than a howl.

Also, if you have money to put away in an Isa before the end of the tax year, it’s a good idea to check this list to make sure you’re not committing cash to a kennel.

The companies which have the most canines on the list are Aberdeen Standard Investments and Fidelity. Aberdeen and Standard Life merged last summer so are hopefully working hard to bring some of their naughty funds to heel. Fidelity, however, is a Great Dane of a firm and should know better – no excuses.

I’m sad to see Legg Mason IF Martin Currie North America still on the list. I held this once pedigree performer until a few years ago when I got fed up with it lagging behind. I swapped it for a simple US tracker (a fund which just follows an index up and down rather than picking single shares) and it’s been doggy chocs ever since.

If you find your fund in the doghouse, you should really think about walkies elsewhere. The full survey shows better-trained alternatives you could consider. I’ve included an edited version of the dogs here but you can see the full list at www.bestinvest.co.uk/dogs or get a hard copy by calling 020 7189 9999.

For help with choosing funds, see our SMM guide here.

Dog funds by geography

UK: Aberdeen UK Equity Income, Aberdeen UK Equity.
Europe: Aberdeen European Smaller Companies, Old Mutual European Equity.
Asia: St James's Place Asia Pacific, Aberdeen Asia Pacific Equity, Allianz Total Return Asian Equity.
America: Janus Henderson US Growth, Jupiter US Small & Midcap Companies, Fidelity American, Legg Mason IF Martin Currie North America, Allianz US Equity.
International: Neptune Global Income, UBS Global Enhanced Equity Income, Legg Mason IF Martin Currie Global Equity Income, Jupiter Global Managed, Templeton Growth, Jupiter Global Equity Income, Schroder Global Healthcare.

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Sunday, 21 April 2019