Top 5 Worst Performing Investment Funds in the UK for 2022

Investing in mutual funds can be a great way to grow your wealth over the long-term.

However, not all funds are created equal, and some may perform worse than others. In this article, we will explore the top 5 worst performing investment funds in the UK for 2022, and what you should consider before investing in these or any other funds.

  1. Aberdeen Standard Investments UK Equity Income

The Aberdeen Standard Investments UK Equity Income fund has been one of the worst performers in the UK market in 2022, with a return of -5.6%.

This fund invests primarily in UK equities and aims to provide a high level of income. However, it has struggled to perform well in the current market conditions.

  1. Invesco UK Equity High Income

The Invesco UK Equity High Income fund is another underperforming fund in the UK market, with a return of -4.9% in 2022.

This fund invests in a diverse range of UK equities and aims to provide a high level of income.

However, it has struggled to keep up with the broader market and has experienced a significant drop in value.

  1. St. James’s Place UK High Income

The St. James’s Place UK High Income fund is a high-risk investment option that invests primarily in UK equities and aims to provide a high level of income.

However, it has underperformed in 2022 with a return of -4.8%, largely due to the current market conditions.

  1. Franklin UK Mid Cap

The Franklin UK Mid Cap fund invests in mid-cap UK equities and aims to provide capital growth over the long-term.

However, it has struggled to keep up with the broader market in 2022, with a return of -4.6%. This fund may be a higher-risk option for investors, and it is important to consider this before investing.

  1. Jupiter UK Alpha

The Jupiter UK Alpha fund invests primarily in UK equities and aims to achieve capital growth over the long-term. However, it has underperformed in 2022 with a return of -4.2%.

This fund may be a higher-risk option for investors, and it is important to consider this before investing.

What to consider before investing

When considering investing in mutual funds, it is important to do your research and understand the risks associated with each fund.

Here are a few things to consider before investing:

  1. Past performance: While past performance is not a guarantee of future returns, it can give you an idea of how the fund has performed in the past.
  2. Fees: It is important to understand the fees associated with a particular fund. Look at the management fees and any other expenses associated with the fund.
  3. Risk: It is important to understand the risks associated with each fund. Some funds are riskier than others, and it is important to choose a fund that matches your risk tolerance.
  4. Diversification: Diversification is important in any investment portfolio. Look for funds that have a diverse range of holdings to help mitigate risk.

Conclusion

Investing in mutual funds can be a great way to grow your wealth over the long-term.

However, it is important to do your research and understand the risks associated with each fund before investing.

These top 5 worst performing investment funds in the UK for 2022 are a reminder that not all funds are created equal, and that it is important to consider past performance, fees, risk, and diversification before making any investment decisions.

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