Fidelity European Inclusive - Class A - Accumulation (GBP)

The fund has delivered respectable performance since Morse took over its management. So far it's performed better than the broader European stock market. It's also tended to offer an element of shelter in a falling market, but lag a rapidly rising market. Past performance isn't a guide to future returns.

The amount Morse invests in each sector doesn't differ too much from the broader market. This means performance is likely to be similar over shorter periods. But Morse thinks it could help deliver modest outperformance over the long run, without significant levels of volatility. There are no guarantees though.

Morse looks for companies he thinks can grow their dividends sustainably over the long run. He thinks this is a sign the business is in a strong position and generates healthy levels of cash. He expects these businesses to hold up better during tougher market conditions.

Morse focuses on larger European companies he thinks will grow consistently and offer some stability, rather than those that deliver shorter bursts of stronger growth, but the potential for bigger setbacks. He also likes companies he thinks will grow their dividends at a steady pace. It's often a sign they're in good financial health, and a growing dividend can be a driver of share price growth over the long run. Remember that dividends are variable and not guaranteed. He aims to avoid companies with high levels of debt, whose earnings are closely tied to the health of the wider economy.

The manager's reduced the number of investments in the fund in recent years, to focus on those he thinks have the most potential for growth. This means each one can have a greater impact on performance, though this is a higher-risk approach. The ability to use derivatives also adds risk. Companies are usually sold from the fund if they cut their dividends.