Bestinvest says
The typically short nature of an individual commodities cycle means that relatively aggressive sector positioning and high turnover should theoretically be an effective way to manage the fund. Since launch Blake has managed the fund impressively, in particular managing to capitalise on short term rallies in specific commodities.
Actively managed, following a Growth at a Reasonable Price investment philosophy. The manager focusses on companies & sectors with biggest potential for earnings surprise drawing on the full resources of Barings’ investment teams. The fund follows both a top down and bottom up process.
Sector allocation will be determined across Agrichemicals, Fertiliser makers, Logistics companies, Food retailers, Seed manufacturers, Farming & related activities, Food wholesalers, Fishing & related activities
Screens are used to select stocks comprising both growth and value factors:
Growth - potential for growth surprise, Liquidity - ability to finance growth, Currency - Sensitivity to currency movements, Management - Commitment to creditable strategy, Valuations - Is the outlook reflected in prices?
Technicals are used to implement and time the entry / exit of a position. Technicals used areSMA, RSI.