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The worst performing funds since the crisis

The worst performing funds since the crisis

Charles Stanley’s pensions and investments analyst has outlined the funds which have disappointed investors the most since the financial collapse of 2008, with those invested in property, oil and commodities faring the worst.

It’s been eight years since US banking giant Lehman Brothers filed for bankruptcy, marking the beginning of the global financial crisis.

Charles Stanley’s Rob Morgan said the funds to suffer the most since that point have often been specialist vehicles, which either suffered as a result of a collapse in oil and commodity prices, or from lacklustre returns in property markets.

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Others, of course, lost money simply through poor stock picking.

 % Return since 15/08/08
Aviva Investors European Property-29.4
SF Webb Capital Smaller Companies-36.0
Marlborough ETF Commodity-38.4
Manek Growth-50.6
MFM Junior Oils Trust-59.7

Charles Stanley’s pensions and investments analyst has outlined the funds which disappointed investors the most since the financial collapse of 2008, with those invested in property, oil and commodities faring the worst.

A handful of specialist property funds fared badly, notably those exposed to Asia or Europe, with the Aviva European Property fund making it to the bottom of the pile.

The fund is now in ‘wind-up’ mode after a key investor announced they planned to pull out, giving the fund managers no choice but to close.

Oil prices were highly volatile over these eight years, with peaks in 2008 and 2011 giving way to a sustained decline, meaning energy producers faced a difficult backdrop. 

The Junior Oils Fund was a particular victim over this period as it invests in smaller exploration and production companies, which Mr Morgan pointed out are generally more sensitive to energy prices than larger firms.

A similar trend played out in many other commodities, and previously buoyant mining shares went into decline, with the Marlborough ETF Commodity making it to the bottom of the performance league tables.

The SF Webb Capital Smaller Companies Growth fund also bucked the trend of recovery in the sector, falling 36 per cent over eight years.

The Manek Growth offering, which holds large positions in higher risk growth stocks, also struggled, which Mr Morgan blamed inconsistent stock picking.

katherine.denham@ft.com