Old Mutual Global Investors' Richard Watts has said the Brexit vote cost his £2.1bn UK Mid Cap fund 5%-6% in performance terms, but provided opportunities to top-up domestic cyclical exposure.
The fund had a strong 2015, returning more than 24% versus 4.8% for the IA UK All Companies sector over the period. However, it was badly hit following the European Union referendum result on 23 June, falling 15%. Performance has since rebounded but the fund remains below the sector average, returning 7.2% year-to-date compared to 9.1% as large-cap stocks powered ahead. Domestic-facing mid-cap names were impacted in the immediate aftermath of the Brexit vote, with the FTSE 250 suffering its worst ever trading day on record, down around 7%. However, the index has since rebounded to re...
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