6 minute read

Where did our clients invest last month?

With the numbers climbing higher and higher and local lockdowns taking over large parts of the UK, where did investors place their cash? The funds below have done well, 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 rule: a fund’s past performance is not necessarily a guide to future performance.
Written by Lucy Cowley
Published on 09 October 2020

10. Baillie Gifford Positive Change

The trend of our investors wanting to do good with their money continues...

Manager: (a team of four: Kate Fox, Lee Qian, Michelle O’Keeffe, Ed Whitten)

What’s in there? Taiwan Semiconductor Manufacturing, Dexcom Inc.

About the fund: this fund aims to do good with your money. The companies within it deliver growth in one of four areas: social inclusion and education; environment and resource needs; healthcare and quality of life; and the needs of the world’s poorest populations. What a champ.

9.      BlackRock World Technology Fund

A new arrival! How exciting.

Manager: Tony Kim

What’s in there? Asset allocation – 98% equity. Geographical – 60% North America. Capitalisation – 54% large caps.

About the fund: The fund tries to maximise your return through a combination of capital growth and income on fund assets. It invests globally with at least 70% of its total assets in businesses in the technology sector.

8.      Liontrust Special Situations

Intellectual property – not a lodge that reads a book per week – is an example of ‘economic advantage’ for the managers of this fund.

Manager: Anthony Cross/Julian Fosh

What’s in there? Unilever, Sage, Reckitt Benckiser

About the fund: The fund has a bias to mid and small cap companies. The managers look for companies with an ‘economic advantage’ such as intellectual property (copyright, trade secrets (very 007)) and stay away from economically sensitive areas such as banking and mining.

7.      HSBC American Index

Is this fund the answer to the problems faced by active fund managers?

Manager: HSBC Global Asset Management

What’s in there? Procter & Gamble, Alphabet, Apple

About the fund: this fund aims to provide long-term capital growth – promising so far – 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 good alternative…

6.      Tilney Adventurous Portfolio

Adventurous – think Nelly Bly (the first person to go round the world, and to do it in 72 days, not 80).

Manager: Tilney

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? Here we are! This fund has a large exposure to shares, including smaller companies, emerging markets and Asia, meaning a higher chance of short-term volatility… strap in!

5.      Lindsell Train Global Equity

The managers have a distinct investment style, taking large positions in a small number of high-conviction businesses.

Manager: Michael Lindsell/Nick Train

What’s in there? Heineken, Pearson London Stock Exchange

About the fund: This fund invests worldwide, in mainly developed markets. The portfolio consists of larger companies with an overweight (more investment there) to Japan. Given the quality and stability of these businesses, this doesn’t necessarily increase risk. In fact, their funds have typically offered a slight hedge in falling markets

4.      Baillie Gifford American

Though this fund is managed in Edinburgh, the team often takes trips to the US… well… they do usually

Manager: Gary Robinson / Ian Tabberer

What’s in there? Amazon, Netflix, MasterCard

About the fund: The focus of this fund is selecting large and medium-sized companies that show long-term growth potential with shares trading on reasonable valuations. Sounds good, right? All the research is conducted internally and through the use of sell side analysts.

3.      Tilney Growth Portfolio

In bronze, it’s our very own portfolio… AGAIN (we won’t brag though).

Manager: Tilney

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, this could be the portfolio pal for you. Some investments in there have exposure to smaller companies, emerging markets and Asia (open to risk). But the rest of the fund is spread across bonds, commercial property and other areas (actually help reduce risk).

2.      Baillie Gifford Global Discovery

Second place a second time, good for you, BG.

Manager: Douglas Brodie

What’s in there? Tesla and Lendingtree

About the fund: Baillie Gifford Global Discovery was launched in 2011 with the intention to take a holistic approach to small-cap investing: investing in those capable of growing into large caps. So it’s no surprise the manager invests globally in transferable securities of companies considered to offer excellent future growth prospects…

1.      Fundsmith Equity

The same top three as last month. Our investors aren’t fickle it seems…

Manager: Terry Smith

What’s in there? Microsoft, Novo-Noridisk, PayPal

About the fund: Manager Terry Smith invests in ‘quality’ companies – those able to sustain high rates of return on capital in cash. Often this is through intangible assets, such as brands that deter competition. Lovely stuff. 

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.) Here at Bestinvest you get competitive fees, a knowledgeable telephone team, an abundance of free investment research, and 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.

OPEN A SIPP

OPEN AN ISA

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 our friendly telephone team on 020 7189 9999 or emailing best@bestinvest.co.uk.

 

Important information

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.