June saw both equity and bond markets deliver negative returns as investors focussed on negotiations to resolve the Greek crisis. The unexpected calling of a referendum to be held on July 5th (which ultimately resulted in a “No” vote), and the temporary closing of the Greek banking system, further unsettled markets concerned about the potential fall-out of a Greek exit from the Euro.
Irish pension managed funds declined 3.3% on average during June. Davy Asset Management were ranked top this month with a return of -3.0%, while Kleinwort Benson Investors propped up the league table with a return of -3.7%. With negative returns in April, somewhat offset by a positive May, the average fund return over the second quarter of the year was a disappointing -2.9%. The best performing funds over the quarter were those of Aviva Investors and New Ireland, which returned -2.5%. The weakest performer was the Setanta Asset Management managed fund which declined 3.7%.
The first half of 2015 remains quite strong, with an average managed fund return of 10.0%. Merrion Investment Managers top the table over the year to date with a return of 13.5%, while Setanta Asset Management produced the lowest return at 8.1%. Over the past twelve months, the average fund return was 20.0%. Returns for the year ranged from 26.5% (Merrion Investment Managers) to 14.5% (New Ireland), representing a difference of 12% between the best and worst performing funds over the past twelve months.
The average managed fund return has been a very strong 16.7% per annum over the past three years. The five-year average return is a healthy 12.4% per annum. Irish group pension managed fund returns over the past ten years have been 5.9% per annum on average.
The full table of results can be found over at our investment fund performance calculator.