Resources funds betting on ‘explosive rally’ after horror month

Resources funds that were among the best-performing equity strategies last year are now suddenly nursing heavy double-digit losses from the Iran war, but fund managers have pounced on the rare pullback in the miners to ride an explosive rebound.

Acorn Capital’s NextGen Resources Fund tumbled more than 20 per cent in March after its outsized exposure to ASX-listed gold stocks got smashed by concerns the conflict could unleash a simultaneous spike in inflation and slowdown in economic growth. Prices of the precious metal plunged 12 per cent in its worst month since the global financial crisis in 2008.

Source: https://www.afr.com/markets/equity-markets/resources-funds-betting-on-explosive-rally-after-horror-month-20260409-p5zmg6