Artemis Global Income Class I - Accumulation (GBP)

The fund has performed better than the IA Global Equity Income sector since launch in July 2010. Please remember past performance is not a guide to the future.

The fund has fallen behind in recent years though and, in particular, it has been a tougher time from 2018-20. The value investing style has been out of favour with the market, which has instead rewarded companies with strong growth prospects. Sectors such as technology have been particularly in favour, but most global income funds do not invest much in this part of the market because of the lack of dividends these companies pay. Although this trend has gone on for several years, it is important to remember investment styles go in and out of favour.

Our analysis shows the fund is a more volatile option in the sector. It has tended to perform better than its peers in rising markets, but not as well when they have fallen.

De Tusch-Lec aims to provide a balance of both income and growth over the long term. He invests differently than most other managers in the sector. In his view, the best long-term results are achieved by investing in unloved companies rather than popular ones. He also thinks it's important to combine his thoughts on a company with his views on the wider global economy.

The manager invests in a mix of companies from across the globe, including those aiming to pay big dividends, those with moderate but growing dividends and unloved companies with recovery potential. The most important thing for him when he is considering a company is how much cash it makes, as that pays dividends.

The manager tends to look beyond the usual names that make up many global income portfolios, and often invests in out-of-favour companies at attractive prices known as value investing, those that are more sensitive to the health of the economy and those lower down the size spectrum.

De Tusch-Lec combines his company selection with a view on where the global economy is headed, and will tilt the portfolio according to his outlook. This so-called top down approach is difficult to do. Economies can be unpredictable, so he admits he wont always get his forecasts or his timing right.

The fund is mainly made up of large companies that are normally some of the most consistent dividend-payers. But there's also a good chunk of mid-sized companies that offer bigger potential for growth. The fund offers plenty of diversification, and no single company or sector makes up too much of the fund. It has the ability to invest in smaller companies and emerging markets and, although they don't currently feature in the fund, the manager can invest in high-yield bonds and derivatives, all of which add risk.