wealth watch
STEPHEN CRANSTON: PSG Balanced leads the pack with 11.8% growth in tight investment market
As many of us prepare for our last trustee meeting of the year, it is a useful time to reflect on whether the fund managers we have hired have done a good job
You will sometimes hear that measuring investment performance is a meaningless activity. It is true that those of us outside the asset management fraternity recognise there is a lot of luck in these returns. The industry only started to accept this after the publication of Nassim Taleb’s Fooled by Randomness in 2001. But only people who do not need their pension fund pots to live on would consider monitoring returns as futile. As a fund trustee, my members don’t want to hear about Sharpe ratios or the exposure to momentum shares, but how much cash is in their “account”. So as many of us prepare for our last trustee meeting of the year, it is a useful time to reflect on whether the fund managers we have hired have done a good job. Like many funds, ours is invested in a default combination of the three most popular independent fund managers, Coronation, Allan Gray and Investec — the CIA. Some argue that Investec is part of a banking group so it is not independent, but it is run indepe...
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