AXA FRAMLINGTON JAPANESE SMALLER COMPANIES - BUY, slowly

There is a limited number of funds in this sector, and it is difficult to choose between one and another. Axa Framlington Japanese Smaller is a relatively new launch, but from a team pereforming well with its broader-based Japanese fund. Definitely higher risk.

Click to buy this fund, or see below for more about the fund. Email us if you wish to invest monthly as you can't do this on-line.

AXA FRAMLINGTON JAPAN SMALLER COMPANIES
INITIAL CHARGE	DISCOUNT	REDUCED INITIAL CHARGE
5.25%	4.75%	0.50%

OUR VIEW:

Framlington has a strong Japan team, which is encouraging. Once this sector explodes upwards (and it will one day) it probably won't matter too much which of the major fund managers you choose, and this fund is as good as any. Not a ringing endorsement for this fund, but that is as much due to the depths to which this sector has fallen.

RISK AND YOUR PORTFOLIO:

Yes, it is undoubtedly higher risk. But with valuations this attractive, and an almost "sell at any cost" attitude to Japanese equities early in 2008, this is an obvious sector to buy and hold. The ideal is to buy monthly, so that you can allow the sector as long as it needs to recover. This is the worlds second biggest economy, and if you have no other exposure in the area, you could, if comfortable with the risks, justify up to 10% of your portfolio.

ABOUT THE FUND:

To achieve long term capital growth by investing principally in small cap companies who have their head office or conduct the majority of their economic activity in any economic sector in Japan.

FUND FACTS:
LAUNCHED	FUND SIZE	ANNUAL CHARGE	FUND MANAGER
22/09/2006	£9.7 million	1.50%	Chisako Hardie

FUND PERFORMANCE: To 31st August
0-12m	12-24m	24-36m	36-48m	48-60m
-25.80%	- - -	- - -	- - -	- - -

Click to buy this fund

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