Finding opportunity in the volatility
The first quarter proved to be a difficult one with the Allan Gray Equity, Balanced and Stable Funds all delivering negative returns. The most significant detractors were the international investments (via the Orbis funds) and local equities. World markets fell 1% in dollars, the rand strengthened by 4% over the period and the FTSE/JSE All Share Index declined 6%. In our Balanced and Stable Funds, the positive contribution from fixed interest was insufficient to offset the equity declines.