Rated Fund 2015-2017. An experienced manager picks up the reins
This fund got a new manager in 2016 but he is someone who had managed a fund previously rated by Money Observer. Andrew Jackson already had a successful track record running the Ecclesiastical UK Equity Growth fund, so we think he can also produce good returns with this fund.
He has the freedom to invest in the best opportunities across the market capitalisation spectrum, though he tends to favour small and medium-sized companies.
He will continue to run a concentrated portfolio of around 65 stocks and, while he will seek to achieve growth, capital preservation will be a core consideration.
Jackson is a follower of the 'GARP' (growth at a reasonable price) investment philosophy. He identifies companies that are out of favour with other investors, but whose prospects he feels are improving.
He looks at a company's growth and earnings prospects before its valuation, although value is also an important consideration. He also likes to run his winners if he still believes in a company's growth prospects.
Since taking over the fund he has reduced its exposure to the UK consumer because of the uncertainty surrounding Brexit in favour of companies with exposure to overseas markets. Some of the fund's existing holdings already met this criteria, but he had been adding others.
He has also adopted a more pro-cyclical stance, although that has its own risks. Investments are always made on a stock-by-stock basis.