The Equitile Resilience Fund aims to deliver capital growth by investing in large, growing companies in the developed markets. It is managed according to our core investment principles and uses the Equitile Fair Fee Model.
Latest Overview GBP - July 2019 (print version)
July has been another month of healthy returns for your portfolio, driven by encouraging earnings reports. Edwards Life Sciences, which gained 15% during the month, on the back of 16% revenue growth and stronger than expected earnings, was your largest single positive contributor. Elsewhere, your investments in the semiconductor industry – ASML, Applied Materials and Lam Research – all performed strongly as the markets began to anticipate an upswing in investment spending. In addition, your investments in Fiserv and The London Stock Exchange Group were both bolstered by positive M&A related news. Somewhat offsetting these positives was a more lacklustre performance from your luxury goods and cosmetics investments – LVMH, Kering and Estee Lauder- which underperformed in the month.
So far 25 of your 39 investments have reported earnings this quarter with 21 of those beating market expectations. With this backdrop and an increasingly accommodative monetary environment we remain optimistic on the outlook for equity markets.
That said, trade tensions are clearly on the rise again. President Trump has imposed additional tariffs on Chinese goods and appears set to step up the trade conflict with the EU. Moreover, the new British Prime Minister, Boris Johnson, is taking a notably more robust stance in the UK-EU Brexit negotiations. Doubtless these trade issues will ensure market volatility remains elevated in the immediate future.