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L&G JPMORGAN NATURAL RESOURCES G25 PF - Fund overview

Bestinvest rating 3 stars


Overview of L&G JPMORGAN NATURAL RESOURCES G25 PF

The fund aims to beat the HSBC Gold, Mining and Energy index by investing in a diversified portfolio of commodity companies. The fund is the longest established open ended collective investment specialising Natural resources companies. The fund invests primarily in smaller resource companies aiming to be the producers of tomorrow. The fund was recently passed to a new manager, Neil Gregson, although Ian Henderson, the previous long serving manager, remains on the fund.

Standard Initial Charge

0.00% 0.00%

Fund summary

Sector  –
Product type  PENSION FUND
Launched  April, 2006
Size  £16m
Yield 0.0%
Charging basis  –
Dividends paid  Acc. units only
Bid price 117.31p

Fund Charges

Standard Initial charge 0.00%
Initial charge via Bestinvest 0.00%
Additional bid/offer spread 0.00%
Annual management charge 1.34%
Total expense ratio 1.52%
Reduction in yield (10yr) 1.52%

Bestinvest says


The fund was recently inherited by Neil Gregson who takes over from Ian Henderson who had managed the fund since 1992. The pair have worked together since 2010 and Henderson is staying on until March 2013. The fund is unusual, especially given its size, in that it invests primarily in smaller companies. The fund therefore has over 200 holdings. This fund structure is likely to remain. Over the long term this has proven to have been a profitable strategy as these companies have significant potential to increase their share prices but are individually more risky. The process is dependent on the stock picking ability of the manager and expertise of the research team.

Portfolio

l&g jpmorgan natural resources g25 pf asset allocation illustration
Allocation Proportion
Equity 0%
High yield bonds 0%
Quality bonds 0%
Property 0%
Commodities 98%
Hedge 0%
Fund cash 2%
l&g jpmorgan natural resources g25 pf equity geographic illustration
Allocation Proportion
UK 35%
Europe 4%
Nth America 41%
Japan 0%
Pacific 12%
Other Equity 8%
l&g jpmorgan natural resources g25 pf equity capitalisation illustration
Allocation Proportion
Large Caps 41%
Mid Caps 31%
Small Caps 28%

Investment process


The objective is to achieve above average capital growth over the long term through a portfolio of shares in what the manager considers to be 'the great investment theme of our age': the industrialisation of China, Brazil, Russia and India.
The universe is broadly divided into energy, base metals, precious metals and alternative energy sources. Small and medium sized companies will be targeted with "special situation" qualities and the manager will hold a diversified portfolio to minimise downside risk. The macro-economic environment and political considerations, in an industry subject to political pressures, will also form an important part of the decision making process.
The manager has a well resourced commodity team that also benefits from JPM's worldwide analyst network to find new stock ideas. In this large, diversified global market place this is of significant benefit.

The value of your investments and the income from them can go down as well as up, and you can get back less than you originally invested. Past performance or any yields quoted should not be considered reliable indicators of future returns. Before investing in funds please check the specific risk factors on the key features document or refer to our risk warning notice as some funds can be high risk or complex; they may also have risks relating to the geographical area, industry sector and/or underlying assets in which they invest. Prevailing tax rates and relief are dependent on your individual circumstances and are subject to change.

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