I like Far Eastern funds best at the moment. On the whole, I prefer smaller companies funds even though large caps are performing better.It is also sensible to look at unfashionable sectors such as technology and here I have chosen M&G global technology trust, which is small but well managed. In the UK, Stuart Sharp’s Rensburg UK microcap trust has an outstanding record and should continue to do well. Two European smaller companies trusts I like are Baring Europe select and Threadneedle European smaller companies. In Japan, I like Baillie Gifford Japan and M&G Japan smaller companies. One of the best investment managers in the UK is Robin Geffen of Neptune. His global equity fund is very widely spread and has an outstanding record. In the Far East, I like Hugh Young’s Aberdeen Far East emerging economies fund and New Star Pacific growth. Out of the huge choice of funds in the UK all companies sector, I like Framlington UK select opportunities because manager Nigel Thomas has been top of the performance tables in the past, is still rated AAA by Citywire and usually does well whatever the market conditions. I have left out US investments as I prefer other markets at the moment. My last choice is Graham Birch’s Merrill Lynch gold & general fund as demand for gold, especially in China, is still rising. He also invests in other precious metals. While this portfolio is widely spread, I expect returns of around 20 per cent a year over the next three years – optimistic, perhaps, but a realistic target, I believe.