Liontrust Income C

Concentrated UK equity income fund with an above average yield.

  • 119.55p
    Price (Inc)

    These are the shares in the fund that pay out an income to clients. The income is made up of the total dividends – the money a company can pay out to its investors – from the companies in the fund.

  • 171.11p
    Price (Acc)

    These are the shares in the fund that don’t pay out an income to clients. Any dividends – the money a company can pay out to its investors – are reinvested into companies in the fund. Despite no income, the shares should be worth more over time. Good incentive, eh?

  • 0.00%

    Initial charge

    Some funds charge you when you first invest, which is aptly known as the initial charge. They’re usually between 3-5% but at Bestinvest, we usually don’t charge you a penny!

  • 0.75%
    Annual management charge

    This is how much the fund management company charges to run the fund. It’s like paying a babysitter, dog sitter or house sitter (that makes well-informed, heavily researched changes to improve your baby/dog/house when needed).

  • 0.79%
    Ongoing charges

    This stands for Ongoing Charges Figure. It’s the cost of running a fund and includes admin fees, manager fees, administration costs, etc.

  • 3.40%
    Yield

    How much the fund is currently paying out in income to investors. It’s NOT to be confused with the overall growth of a fund – a very different thing indeed. It’s also NOT a guarantee of future pay-outs, just a snapshot. This is more what it’s not than what it is…

Prices as at 26 January 2021

Whilst a rising level of income is the main objective of the fund, the manager also targets above average capital growth, from an actively managed portfolio invested predominantly in UK securities and UK fixed interest stocks, with some overseas exposure (up to 20%). The manager takes an unusual approach to portfolio construction, investing in 33 equally weighted stocks which may be core income stocks, recovery plays or short term tactical plays.

Fund summary

Sector UK Equity Income
Structure OEIC
Launched October, 2012
Size £331m
Yield 3.40%
Charging basis Capital
Dividends paid 28 Feb, 31 Aug

Charges

Standard initial charge 0.00%
Initial charge via Bestinvest 0.00%
Additional bid/offer spread 0.00%
Annual management charge 0.75%
Ongoing charges figure 0.79%

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Investment process

The investment objective of the fund is to generate a rising level of income. Whilst income is the main objective there is also potential for capital growth, from an actively managed portfolio invested predominantly in UK securities and UK fixed interest stocks, with some overseas exposure. This portfolio comprises thirty-three equally weighted holdings split into three categories of eleven: - "Steady Eddies", core income stocks with 5 year dividend growth records; - "Hidden Fruits", recovery plays awaiting a catalyst for change; - "Tactical Plays" shorter term ideas reflecting Neptune’s sector views. Neptune expect the fund's performance to be primarily driven by their top-down, sector driven asset allocation policy. However, stock specific research is also carried out - primarily this is done by their global sector analysts, though the fund manager has ultimate discretion over which companies to include in the portfolio.

Fund manager Robin Geffen combines an astute view on the macro economic influences (global economic environment) with a strong emphasis on fundamental stock research in this growth and dividend focused UK equity fund. As he is the group's CEO this fund must carry some "flagship fund" status. The fund's concentrated portfolio, historically high yield and above average returns set it apart from its peers. However, there have also been marked periods of underperformance. Therefore we have higher conviction in our rated funds within the UK Equity Income sector.

Manager research

Average monthly relative returns

  • 16/17 0.00%
  • 17/18 0.00%
  • 18/19 0.00%
  • 19/20 -0.24%
  • 20/21 0.00%

Bestinvest MRI

  • 3 years 0.00%
  • 5 years 0.00%
  • Career -0.16%
  • 3 years 0.00%
  • 5 years 0.00%
  • Career 35.90%

Performance figures are based on the average of monthly percentage returns relative to the benchmark index.

Robin Geffen

Geffen founded Neptune Investment Management in May 2002 and is their CEO. He graduated from Oxford in 1979 and began his investment career at Charterhouse J Rothschild before moving onto Eagle Star, York Trust plc and then Scottish Equitable, where he set up their pooled fund business. Geffen joined Orbitex Investments Limited as Chief Investment Officer in 1997 and was most recently Global CIO – Pensions, before founding Neptune.

Track record

Robin Geffen has 2.8 years experience of managing mutual funds in this sector. Over this period the average monthly return relative to the benchmark index has been -0.16%. During the worst period of relative performance (from September 2002 - October 2003) there was a decline of 15% relative to the index. The worst absolute loss has been 22%.

Periods of worst performance

Absolute -22.00% (July 2002 - January 2003)
Relative -15.00% (September 2002 - October 2003)

About the MRI

Our unique indicator: the Bestinvest Manager Record Index (MRI) measures the likelihood that the fund manager is adding value through their decisions. It is based on their performance record over the course of their career, adjusted for the amount of risk taken. MRI is an important contributor to our fund rating system but it is also vital to take account of qualitative factors. It is also very important to select funds to form a cohesive portfolio with an appropriate overall risk level.

Allocation

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Top 10 holdings

Data accurate as at 31 July 2020

3.2847% Phoenix Group Hldgs Plc
3.2784%3 i Group Plc Ord
3.2516% Microsoft Corp
3.2433% Segro Plc
3.2433% Rio Tinto
3.2073% Apple Inc
3.2003% Anglo American
3.1829% Sage Group
3.1683% Avast Plc
3.1523% Astrazeneca Plc
Source: Trustnet

Sector breakdown

Financials 41.00%
Technology 13.00%
Basic Materials 13.00%
Consumer Goods 9.00%
Health Care 6.00%
Consumer Services 6.00%
Oil & Gas 5.00%
Utilities 3.00%
Industrials 3.00%
Money Market 1.00%

Portfolio

33 holdings of roughly equal size.

Constraints

Minimum 80% UK. Maximum 20% cash. No more than 30% in any one sector; up to 3 MSCI global sectors may be zero weighted.

Key Investor Information - Income

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Key Investor Information - Accumulation

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