The Allard Growth Fund lost -6.6% in February, while the Allard Investment Fund was down -7%. As equity long only funds both were badly affected by ongoing weakness in Asian equity markets.
These results bring the 12 month return for the Growth Fund to -34.9%, and the Investment Fund to -11.9%. The manager noted that internet based businesses the Funds were invested in are increasing their market share over their non-internet based rivals, a Korean internet content service operater for example reporting an operating profit up +26%. Another trend has been the increasing pressure on smaller, weaker players in the Hong Kong and Chinese manufacturing industries. The manager will continue to monitor these trends to identify entry points for investment.
