Trustnet Magazine 94 April 2023 | Page 50

Performance of indices over 10yrs
SECTOR PROFILE
IA North America

Performance of indices over 10yrs

S & P 500 ( 267.9 %) Russell 2000 ( 155.9 %)
300 %
250 %
200 %
150 %
100 %
50 %
0 %
-50 %
Apr13
Apr14
Apr15
Apr16
Apr17
Apr18
Apr19
Apr20
Apr21
Apr22
Source : FE Analytics
that only seemed to be going in one direction , and everyone was happy . But is the tide changing ? As inflation and interest rates have risen , volatility has soared , with the S & P 500 down 8.3 % in sterling terms in 2022 . Without the cushion of a rising dollar , it fell 18.5 %. Yet despite this reality check , retail investors do not seem to be ending their love affair with the US . Data from the Investment Association shows that while IA Global funds saw net outflows of £ 157m in January ,
£ 364m was pumped into IA North America , making it the most popular sector that month . Given this affinity , Chris Metcalfe , chief investment officer at IBOSS , says one of the questions that advisers most frequently ask him is why he doesn ’ t have a higher exposure to the world ’ s largest economy .
“ All rainbows and unicorns ” “ Despite the underperformance last year , there still seems to be this sense
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