Downturn shoots AR into spotlight

Newly-launched IMA Absolute Return sector reaps rewards from market slide, with 23 of 26 funds achieving positive returns

Launched in April 2008 as a result of the increasing popularity of total return vehicles, the IMA Absolute Return sector market has been thrown into the spotlight during the market downturn. Of the 26 funds with more than a one-year track record, 23 can claim a positive total return over the 12 months to 21 September, with an average return of 10.4%, according to Morningstar. However, there is a wide differential between the best and worst performers, with the largest faller dropping 6.9% over the period. By contrast, the top performer in the sector – the Octopus Absolute Return fu...