Multi-manager  

European income funds buck trend in June, reports Rebak

European income funds were one of the only investment areas to perform strongly in June, according to HSBC Global Asset Management’s Jon Rebak.

The manager of the £468.8m HSBC Open Global Distribution fund said equity income funds “offered little resistance during the market correction in June” but highlighted his holding in the Invesco Perpetual European Equity Income fund as an example of European equities outperforming during the market turmoil.

The Invesco fund, run by Stephanie Butcher, is the second-best performing fund in the IMA Europe ex UK sector in the 12 months to July 26, according to FE Analytics, with a 54.8 per cent gain.

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In contrast, Mr Rebak highlighted the short-term performance of James Harries’ Newton Global High Income fund which, in spite of maintaining low volatility, did not protect investors from the market sell-off.