Dear Fintax Investor
For the March 2021 month, the Growth Fund delivered +0.3% and the Balanced declined by 0.1% versus +2.7% for Global Equities and -1.8% for Global Bonds. Over the past year the Growth Fund has delivered 47.7% and the Balanced Fund 35.7%, although this is measured from the March 2020 market lows.
Investors will note from this month’s Growth Fund Fact Sheet that the MGIM team have increased the equity exposure in the fund and exited their real estate positions, whilst retaining some protection in the form of gold, cash and S&P500 put options. This is part of their updated strategy to differentiate the Growth Fund from the Balanced and for the Growth Fund to more meaningfully participate in equity market returns. The Growth Fund, however, retains a flexible mandate and they still have discretion to manage the portfolio according to their best views.
In the attached commentary MGIM discuss the performance of SPACs (Special Purpose Acquisition Companies). For more information on SPACs please click on the image below to be taken to a video presented by Dimensional, one of the underlying managers in the Fintax Funds: