MONKS INVESTMENT TRUST
An investment trust looking for capital growth from global equities, managed by Baillie Gifford.
CHARGE PER TRADE
Prices as at 04 Dec 2023.
Fund commentary last updated 20 Jun 2023.
Past performance is not an indication of future performance.
Capital at risk.
|Annual Management Charge||0.45%|
|Ongoing Charges Figure||0.43%|
The management team believe that share prices follow fundamentals over the long term. To that end, they look for companies around the world, which are managed with a long-term mindset, and are able to consistently deliver above-average earnings growth and cashflow through sustainable competitive advantages. They also invest in companies using innovative methods, products and strategies to address unmet needs and re-shape entire industries. Baillie Gifford has an investable universe of 3,000 stocks, of which 750 are actively researched. As part of this the management team receive input from ‘investment scouts’ - senior portfolio managers within relevant regional equity teams. The team apply a growth hurdle for portfolio positions whereby they are expected to have the potential to double within five years. They focus on three key aspects when considering an idea – the opportunity available to the company, its ability to execute on that opportunity and its valuation. Holdings are categorised as one of: Growth Stalwarts, Rapid Growth and Cyclical Growth: Growth Stalwarts have around 10% per year earnings growth, boast a durable franchise, robust profitability in most economic conditions and competitive advantage with strong brands. Rapid Growth companies have between 15% and 25% growth per year, tend to be early stage with vast growth opportunity, are disruptors of existing markets or creators of new ones. Cyclical growth companies have 10% to 15% earnings growth per year through the cycle, with strong management teams highly skilled at capital allocation. The team are mindful of the exposure to the three categories, and will tilt the portfolio, depending on market conditions, whilst continuing to ensure it remains diversified. The management team also look for diversification in terms of sector, geography, theme and exposure to economic developments including commodity prices and inflation. A five plus year investment horizon allows stewardship and engagement to further boost returns. Through these activities, the management team look to support growth, promote good-decision-making and help companies reach their potential. The portfolio has between 70 and 120 names, with 95% being listed on global stock exchanges. Its biggest geographical exposure is to North America and its biggest sector exposure is to technology.
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