Performance of the Old Mill Portfolios – up to Tuesday 4 October

Performance since the last Insight (from Friday 2 September 2022 to Tuesday 4 October 2022)

Earlier in the week we sent you a separate note about the Government’s growth plan and ensuing market turmoil since which is reflected in the graphs below.

Portfolios saw falls through September as talk of ‘higher for longer’ interest rates in the US caused asset falls, with fixed interest falling in response to the prospect of rising interest rates and equities falling on recession fears.

Performance over the last year (up to Tuesday 4 October 2022)

We have seen falls in all portfolios over the last year in the face of global economic and political turmoil and rising inflation.

10 Year Longer term performance of standard portfolios (up to Tuesday 4 October 2022)

Investing is a long term pursuit and although some of the longer term performances of lower risk portfolios reflect the transition to a potentially higher inflation environment, we hope you take reassurance from the longer term results with the ten year performance to Tuesday 4 October shown above.

Sustainable portfolios performance since the last Insight (from Friday 2 September 2022 to Tuesday 4 October 2022)

Sustainable portfolios fell over the period with returns over the period similar to our standard portfolios.

Performance over the last year (up to Tuesday 4 October 2022)

Investments in the sustainable portfolios exclude a number of industries to reduce the exposure to carbon emissions. One of the impacts of this over the year has been little or no exposure to energy industries such as oil and gas which have seen strong performance in the face of the Ukraine war. The impact of this was seeing slightly bigger falls since the beginning of this year.

Longer term performance of Sustainable portfolios (up to Tuesday 4 October 2022)

As the sustainable portfolios have only been available for the last five years this is a shorter timeframe but still showing the potential upside over longer periods.

Below shows the performance of a number of asset classes for the last year and over the last ten years as at close of play on Friday 30 September.

Looking at the underlying asset classes, this reflects the short term pressure investments have been under for the last year but also highlights the higher returns available over longer time periods.