magazine archive
magazine archive
Investment Trusts
Schroders fund manager: Why the FTSE 250 offers ‘growth at a ridiculous price’
Thursday 27 Jul 2023Firmly out of favour with investors since the Brexit vote seven years ago, the FTSE 250 index rallied strongly on the release of the latest UK inflation data (19 July). This showed UK CPI rising by 7.9% year-on-year in June, lower than forecasts of an 8.2% rise, theoretically reducing expectations...
Why capital preservation trusts have failed to live up to their name this year
Thursday 20 Jul 2023Investors often fall into two camps. Some look to build wealth for the long term, while others want to protect wealth they have already accumulated, and this latter objective is what capital preservation funds are primarily designed for. There are three main investment trusts in the capital...
Discover how Castelnau plans to revive funerals group Dignity after its £281 million takeover
Thursday 20 Jul 2023Most investment trusts provide investors with a diversified portfolio invested across many different stocks and sectors which lowers the volatility or variability of returns. They typically own small stakes in anywhere between 30 to over 100 companies which can be sold without disturbing the market...
Is this an opportune moment to pounce on private equity trusts?
Thursday 29 Jun 2023According to the Association of Investment Companies (AIC), private equity trusts delivered an average return of 409% over the 10 years to 31 May 2023, which compares very favourably to 156% for all investment companies. Yet despite this spectacular long-run performance, 14 out of 17 trusts in the...
Why big discounts on investment trusts can sometimes but not always mean great bargains
Thursday 08 Jun 2023Whether or not you are a value investor by nature, we all get a kick out of finding companies which are trading on big discounts to ‘fair value’. Rather like Warren Buffett, who claims he buys dollar stocks for 50 cents, we all like to think we can spot a bargain. The problem is identifying fair...
This is the right time to start looking at smaller company investment trusts
Thursday 11 May 2023Slowing growth coupled with heightened uncertainty is never a good combination for stock markets. Smaller company shares tend to deteriorate more because their operational risks are seen to be more concentrated versus large-cap peers. History shows that smaller companies tend to underperform larger...
Bankers Investment Trust: will a shift towards value help revive performance?
Thursday 04 May 2023After indifferent recent performance, Bankers Investment Trust’s (BNKR) Alex Crooke explains the shift towards a more value-focused strategy for the trust. The slight change of approach has not altered the long-term target to achieve capital gains better than those of the FTSE World index as well...
China investment trust shares fall as fears grow over pace of economic recovery
Thursday 27 Apr 2023Shares in China-related investment trusts have fallen after a late 2022 rally amid fears the country’s economic recovery is uneven. While first quarter GDP jumped by a better than expected 4.5%, there are concerns the pace of growth may now slow. Markets immediately priced in a stronger economic...
Scottish Mortgage striving to convince investors on its long-term future after a bruising period
Thursday 06 Apr 2023The managers of Scottish Mortgage Trust (SMT) Tom Slater and Lawrence Burns are in full blown apology mode after a recent boardroom spat which saw its chair of 14 years Fiona McBain step down (21 March) with senior independent director Justin Dowley taking over. ‘We are very sorry to the...
The sleep at night portfolio: 5 investment trusts to put your worries to rest
Thursday 30 Mar 2023Every sensible portfolio should ideally consist of a bedrock of investments which provide diversified access to steady growth, capital protection and income. This is relevant not just during challenging periods but most of the time. Just as solid foundations are essential for a safe building, they...