Where did our clients invest last month?
With the UK finally opening up and showing semblances of life pre-Covid-19, how did our clients respond with their investment choices?
Published on 07 May 20216 minute read
Written by Lucy Cowley
The funds below may have been popular, but you should always keep in mind that investments go down as well as up and you may not get back the amount invested. Remember the golden (rings) rule: a fund’s past performance is not necessarily a guide to future performance.
The manager for our opening act aims to outperform in all market conditions – lovely stuff – and so adopts a very flexible approach.
Manager: Giles Rothbarth
What’s in there? LVMH (Moët, Hennessey, Louis Vuitton), Volvo(Ab)
About the fund: Mr R builds his portfolio around a core of high-quality stocks that he believes can provide growth over the long-term. However he will rotate the portfolio into different types of companies depending on his shorter-term view of the market.
Could this fund be the answer to the problems faced by active fund managers?
Manager: HSBC Global Asset Management
What’s in there? Johnson & Johnson, Visa
About the fund: this fund aims to provide long-term capital growth – a big tick there – by matching the capital performance of the S&P 500 Index by replicating its stocks. It’s not easy for active fund managers to add value to the large cap end of the American stock market, so this fund could be a decent plan B.
The duo set up Lindsell Train in 2000, meaning it turns 21 this year. Yes, we feel old too.
Manager: Michael Lindsell/Nick Train
What’s in there? Heineken, Disney
About the fund: the pair take large positions in a small number of high conviction businesses – it’s a fairly distinctive investment strat. But given the quality and stability of these businesses, it doesn’t necessarily increase risk, and their funds have typically offered a bit of a pillow in falling markets.
Companies with an economic advantage make it into Liontrust…
Manager: Anthony Cross and Julian Fosh
What’s in there? Unilever, Diageo
About the fund: …such as intellectual property – not a lodge with an eidetic memory. They look for companies that produce sustained growth in profits, which usually leads them away from economically sensitive areas such as banking and mining.
Our MOST adventurous portfolio – think Cobb (Leo DiCaprio) in Inception. Pretty adventurous, we’d say.
What’s in there? Asset allocation – 86% equity. Geographical – 54% UK. Capitalisation – 59% large.
About the fund: this is for those with a very high tolerance for risk and who are going to be investing for a long time. It’s designed to deliver high growth by investing in UK and global stock markets but also has substantial exposure to both smaller companies and markets outside the UK, including emerging markets and Asia. Stock markets can be particularly volatile in the short term and investments in smaller companies and overseas markets carry their own risks.
The Edinburgh-based team’s next trip to America has been on hold for a while…
Manager: Gary Robinson / Ian Tabberer
What’s in there? Tesla, Netflix
About the fund: this fund selects large and medium-sized companies that the team thinks show potential for long-term growth. They also make sure that the valuations are reasonable and their research is done internally and using sell-side analysts.
Adventurous – think Hermia from A Midsummer Night’s Dream; full of strength and refusing to accept male authority over women’s choices: ‘And though she be but little, she is fierce.’
What’s in there? Asset allocation – 74% equity. Geographical – 54% UK. Capitalisation – 60% large caps.
About the fund: high tolerance for risk and a long term investment horizon? You’re in luck! This fund has a large exposure to shares, including smaller companies, emerging markets and Asia, meaning a higher chance of short-term volatility… hang onto your hats!
Sticking in bronze. Go, us.
What’s in there? Asset allocation – 64% equity. Geographical – 53% UK. Capitalisation – 61% large caps.
About the fund: if you’re ready to play the long game, take on risk, and want some diversification away from the stock market, our friend here could be for you. Some of the investment features have exposure to smaller companies, emerging markets and Asia (open to risk). But the rest of the fund is spread across bonds and other areas (actually help reduce risk).
This is a fairly volatile little critter, but it’s performed strongly since its launch.
Manager: Douglas Brodie
What’s in there? Blackline, Ocado
About the fund: the fund was launched in 2011, intending to take a rounded, innovative approach to small-cap investing. The team targets a very specific type of company – those capable of growing into large caps. Small businesses are no longer just domestic, they can grow globally.
First place for Mr Smith, once again.
Manager: Terry Smith
What’s in there? Microsoft, Novo-Nordisk
About the fund: Fundsmith usually does well with our clients. Terry Smith’s strong opinions on fund management have influenced his managerial style, and it’s a style that has beaten the market over time historically, while also providing low volatility returns and a bit of a hedge in falling markets. All this has made him pretty popular!
How to invest in these funds
All of these funds (plus thousands more) can be bought in our award-winning Best SIPP and Stocks & Shares ISA or in an investment account. (Psst – see our full awards list here.) These offer great value for money and give you control over your investments. It’s quick and easy to open an account with us – take a look below. Please read the important information below and make sure you understand the risks before investing.
Speak to us
For more information on the Best SIPP, our Stocks & Shares ISA, investment account or any of these funds, please get in touch by calling us on 020 7189 9999 or emailing us at email@example.com.
The value of your investment can go down as well as up, and you can get back less than you originally invested. Past performance is not a guide to future performance.
Before investing in funds please check the specific risk factors in 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.
This article does not constitute personal advice. If you are in doubt as to the suitability of an investment please contact a financial adviser. It is based on our opinions which may change
*SIPPs are not suitable for everyone. They may not be right for you if you don’t want to invest across different asset classes or don’t think you will make use of the investment choices available to you. Please contact us for guidance or advice if you are unsure.