LF LINDSELL TRAIN UK EQUITY D
A UK equity fund with a concentrated portfolio and a long-term approach to adding value.
ANNUAL MANAGEMENT CHARGE
Prices as at 12 Oct 2023.
Fund commentary last updated 18 Oct 2022.
Past performance is not an indication of future performance.
Capital at risk.
|Sector||UK All Companies|
|Dividends paid||January, September|
|Standard Initial Charge||2%|
|Initial Charge Via BestInvest||0%|
|Additional Bid/Offer Spread||0%|
|Annual Management Charge||0.45%|
|Ongoing Charges Figure||0.49%|
The UK Equity Fund has an investible universe of around 50 companies. A company must have a particular set of outstanding characteristics to be considered for the fund - these include heritage, predictable earnings through pricing power and/or intellectual property, low capital intensity and sustainably high returns on capital. Train has identified four key strategic areas for ideas: digital winners, luxury/premium, beloved trusted brands, and the private wealth industry. He finds most of his investments in a select group of industry categories – consumer branded goods and internet/media/software - as people will never tire of being entertained or informed. Other strong categories include financials and pharmaceuticals, but he avoids heavy, old industry and particularly cyclical sectors. Train values his candidate investments using a variety of approaches, the most important being a discounted cash flow calculation. He has a very long-term investment horizon, looking at companies with a view of the next 25-plus years. He will only look to sell a holding if there is a ‘significant breach’ of its valuation target or when the investment premise is no longer valid. This is because he believes that owning great companies for the long haul makes sense and that transaction costs are a tax on his clients’ money. The result is a concentrated portfolio with the number of stocks, most valued over £1billion, unlikely to exceed 35. Its top 10 holdings typically make up around 80% of its assets.
The information on this website is not intended to be advice or a recommendation to buy, sell or hold any investment mentioned. The value of investments and the income from them can go down as well as up and you may not get back the amount invested.
Past performance is not a guide to future performance. View full risk warning