Bestinvest says
This fund has benefited from a number of experienced fund managers during its past but has never really lived up to expectations. Performance has generally been inconsistent relative to its benchmark and more recently it has displayed higher volatility. The UK All Companies sector is very competitive, therefore those investors after a fund with a bias to large companies may wish to consider, JO Hambro CM UK Opportunities or Schroder UK Core (low fees) both highly rated by Bestinvest.
The M&G UK Growth Fund is a mainstream UK equity fund managed to achieve consistent outperformance of the FTSE All-Share Index. The Fund does this by investing principally in UK companies with high growth potential with the sole objective of capital growth. The manager applies a bottom up (analyses companies in their own right) approach and typically takes a long term view with selected companies. The key focus of the investment process is companies with proven business models and as such this focus precludes many of the more speculative companies in the market. In particular, the manager invests in companies with strong barriers to entry, above average growth prospects and capable management. Once ‘quality’ companies are identified, the manager applies a number of valuation metrics to ascertain that stocks entering the portfolio are attractively valued.