How Absolute Return Trust Achieves Consistent Returns and Growth

Absolute Return Trust is a pioneer in the field of absolute return investing, with a proven track record of delivering consistent returns and growth. Their flagship fund has consistently outperformed the market since its inception.

Their investment approach is centered around a rigorous research process, which involves analyzing thousands of potential investment opportunities every year. This meticulous approach allows them to identify high-potential investments that others may miss.

By taking a long-term view and being willing to think differently, Absolute Return Trust has been able to achieve returns that are significantly higher than the market average. Their commitment to delivering consistent returns is unwavering.

With a strong focus on risk management, Absolute Return Trust has built a reputation for being one of the most reliable and stable investment managers in the industry.

The Absolute Return Trust's performance is a crucial aspect to consider when evaluating its investment potential. The fund's total return has ranged from a 7.7% gain in 2015 to a -4.8% loss in 2022.

The chart shows the fund's performance over the last 10 years, with a 6.6% gain in 2024. This is a significant improvement from the -7.8% loss in 2016.

Here are the key performance metrics over the past 10 years:

The fund's performance is shown after deduction of ongoing charges, and any entry and exit charges are excluded from the calculation. This means that the actual returns may be higher or lower than what is reported.

The Absolute Return Trust has a relatively low standard deviation of 8.98 over the past 3 years, indicating a relatively stable investment.

This stability is further reflected in the tracking error of 5.68 over the same period, which suggests that the trust's performance is closely aligned with the market.

The Sharpe Ratio of 0.10 over 3 years implies that the trust's returns have been relatively modest compared to its level of risk.

The upside market capture ratio of 97.89 over 3 years indicates that the trust has captured a significant portion of the market's gains.

Here's a comparison of the trust's volatility metrics over different time periods:

The trust's beta of 0.78 over 3 years suggests that it has been less volatile than the market, with a lower likelihood of significant losses.

The Absolute Return Trust is designed to provide a positive return, regardless of market conditions, over any 12-month period. This is a bold strategy, and it's not guaranteed to succeed.

The fund invests in shares and makes extensive use of derivatives to take both long and short positions in companies. This means the fund can benefit from either a company's rise or fall in value.

One of the key performance metrics for the fund is its ability to outperform the UK Base Interest Rate over a 3-year period. This is a challenging target, but the fund's managers are confident in their strategy.

Here's a look at the fund's historical returns:

These returns are not annualized, but they give you an idea of the fund's performance over different time periods. It's worth noting that these figures represent past performance, which is no guarantee of future results.

The fund has a contractual commitment to cap its total annual fund operating expenses at 0.33%. This means that the fund's returns would have been lower without this commitment.

The Absolute Return Trust's performance is a key area of interest for investors. Performance is shown after deduction of ongoing charges, but any entry and exit charges are excluded from the calculation.

The fund's performance is measured against its benchmark, which helps assess how well the fund has been managed in the past and how it compares to the market. The performance is shown as the percentage loss or gain per year over the last 6 years, with the most recent year's performance being 2.9% in 2019, 13.0% in 2020, -8.7% in 2021, -13.4% in 2022, 6.3% in 2023, and 3.2% in 2024.

The fund's performance is compared to its benchmark, which had a 2.6% return in 2019, 1.1% in 2020, 0.2% in 2021, 2.0% in 2022, 5.5% in 2023, and 5.6% in 2024.

The distribution section of the fund's performance is a crucial aspect to consider when evaluating its past management. Performance is shown after deduction of ongoing charges. Any entry and exit charges are excluded from the calculation.

The fund's total return percentage is calculated and displayed for each year, including 2015, 2016, 2017, 2018, 2019, 2020, 2021, 2022, 2023, and 2024.

Here is a breakdown of the fund's total return percentage for each year:

This information can help you assess how the fund has been managed in the past and compare it to its benchmark.

PRIIPs Scenarios are a crucial part of understanding the potential risks and rewards of an investment. They provide a range of possible outcomes, from the best-case to the worst-case scenario.

The Stress scenario shows what you might get back in extreme market circumstances. In one example, it resulted in a loss of 22.5% after just one year. In another, it showed a loss of 7.3% after five years.

The Unfavourable scenario is another possible outcome. In one example, it resulted in a loss of 12.4% after one year, while in another, it showed a gain of 0.0% after five years.

The Moderate scenario is often seen as a middle ground. In one example, it resulted in a loss of 2.1% after one year, while in another, it showed a gain of 2.1% after five years.

Here are the possible outcomes for the Favourable scenario in two examples:

These scenarios demonstrate the importance of understanding the potential risks and rewards of an investment. It's essential to review the PRIIPs Scenarios carefully before making a decision.