Crescit Protect (USD class) fell -0.35 percent in July, giving a +5.9 percent for the year. It was a month when the broad stock market indices were almost static, but the differences between markets were large. Japan fell sharply while Europe and the Nordics held up. For a fund with downside protection, the parts almost cancelled each other out. The American and Japanese exposure weighed, while European exposure and the interest income in the structure contributed. The protection remained without having to be used. The point is that a broad and protected structure provides a smoother outcome when the risk moves between markets, instead of being seen in a broad index.

We held the protection throughout the month. The fund's put options were around 17 percent below index levels, and the fund participated in the rise in Europe and Japan while the American part was the underdog. The point of Protect is to participate in the market with a floor under your feet, not to catch every rise.

For the saver, this means a smoother journey and less sensitivity to a quick setback, without us needing to predict exactly when it will come.