Bestinvest says
The fund has a strong long term record, achieving fame as one of the few to make money in 2008 when then manager Philip Gibbs saw the banking crisis ahead of time. Whilst Gibbs has subsequently stepped down from the fund, he remains head of Jupiter’s financials team and new manager Guy de Blonay also has a strong track record in the sector from his days at New Star. Investors should be aware that future returns from banks are likely to be lower than they were prior to the crisis, though the fund has the flexibility to invest in insurance, property and other financial companies.
The fund manager uses a combined top-down and bottom-up investment approach to select a relatively concentrated portfolio of banks, insurance and other financial companies from around the world. Ideas are generated from a variety of sources, including Jupiter analysts and managers, company meetings, stockbrokers, the media and conferences. The manager also takes a macro view of the economy, identifying themes such as the growth of emerging economies and looking for companies that can capitalise on them. He then undertakes quantitative screening to reduce his investment universe, before carrying out qualitative analysis to assess the sustainability of the business. He looks particularly for above average growth, a strong market position and proven management with a stake in their business.