Fact sheet: Polar Capital Technology IT

Rated Fund Information
Rated Funds Group
?Money Observer has arranged all its Rated Funds into easy to understand Rated Fund Groups, comprising funds and investment trusts.
SPECIALIST
Sector
IT Tech Media & Telecomm
Fund type
Investment Trust
Primary aim
GROWTH
Why Money Observer Rates Polar Capital Technology IT

Rated Fund 2013-2017. An indirect beneficiary of President Trump's promises

Launched in 1996, Polar Capital Technology invests in a diversified portfolio of technology companies from around the world. The lead manager on the investment team is Ben Rogoff, who has specialised in technology for the past 20 years.

He is assisted by three other fund managers and three analysts. The team emphasise that they do not invest in technology for its own sake but in companies that can deliver good returns.

For this reason they pay attention to management quality, as well as to the identification of new growth markets, the globalisation of major technology trends, and international valuation anomalies and sector volatility.

At the end of 2016, Rogoff's preferred themes included online advertising, e-commerce, cloud infrastructure, cyber security, SaaS, gaming, mobile payments and Chinese internet.

The team also likes areas where technology is attacking the profit pools of other industries, such as travel, media/TV distribution, automotive (including electric vehicles) and manufacturing (factory automation, robotics, sensors and the 'internet of things').

Rogoff points out that while the election of Donald Trump may not directly benefit the technology sector, he believes many of the trust's holdings will gain either directly or indirectly from the president's proposed tax cuts and infrastructure spending. He also expects a continued high level of mergers and acquisitions.

But he says the biggest positive is the diminished risk of a US recession - given that 40 per cent of IT spending takes place in the US. In addition, a stronger banking/financial sector is a significant positive and will likely accelerate the adoption of new cloud-based technologies.

3 Year Performance
Fund Performance112%
Average of Rated Funds Group59.2%
Sector Performance107.3%
Fund information
Fund name
Polar Capital Technology Trust PLC Ord 25p
Fund manager company
Polar Capital Partners Ltd
Fund type
Investment Trust
Fund managers
  • Fatima lusince 31/03/2006
  • Ben Rogoffsince 30/04/2006
  • Nick Evanssince 31/08/2007
  • Xuesong Zhaosince 30/04/2012
Accolades
Highly Commended - Best Large Trust
Fund objective
To maximise capital growth for shareholders through investment in a diversified portfolio of technology companies around the world.
Benchmark
  • Dow Jones World Technology Index
Investment style
None
Investment method
Shares
Quick stats
1 Year return
35.7%
1 Year rank in sector
1/2
Sector
IT Tech Media & Telecomm
Yield
-
Fund size
£1,365m
FE Risk score
?FE Risk Scores measure the riskiness of instruments relative to the FTSE 100 index of shares. Weekly volatility is measured over three years with recent behaviour counting more heavily than earlier behaviour. Cash-type investments will have scores close to zero. Funds will tend to have scores in the 0-150 range. The FTSE 100 is always scored at 100. There is no upper limit.
147
Mid price
1028
NAV
?Net asset value. The NAV per share may be higher or lower than the share price, which in turn is trading at either a discount or a premium to NAV.
1034.74
Discount/Premium
?When the market price of an investment trust’s shares is less than the net asset value (NAV) per share then it is trading at a discount to NAV. A trust’s shares are on a premium when they trade at a higher price than the NAV.
-0.65
Gearing
?Investment trusts have the ability to borrow money which they invest with the aim of generating a higher return than the cost of the loan. An ungeared trust has a figure of 100. A figure of 110 would represent a trust with 10% gearing.
100
Top in this sector
Fund name1 Year
Polar Cap Tech Tst PLC35.7%
Allianz Tech Tst PLC33.6%
...more in IT Tech Media & Telecomm

Performance snapshot

Holdings snapshot

  • North America65.7%
    Asia Pacific ex Japan16.3%
    Japan6.4%
    Europe ex UK4.7%
    Money Market4.1%
  • Software25.8%
    Internet25.6%
    Semi Conductors14.8%
    Hardware11.7%
    Electronic & Electrical Equipment4.5%
  • North American Equities65.7%
    Asia Pacific ex Japan Equities16.3%
    Japanese Equities6.4%
    Europe ex UK Equities4.7%
    Money Market4.1%

Performance vs Sector

Cumulative performance
 1 mth3 mth6 mth1 yr3 yr5 yr
Fund-1%5.8%10.2%35.7%112%165.3%
Sector-0.9%6.6%11.9%34.7%107.3%195.1%
Rank within sector2 / 22 / 22 / 21 / 21 / 22 / 2
Quartile
Calendar performance
 YTD - 20172016201520142013
Fund21.4%35%7.5%18.5%35.4%
Sector23.5%31.1%11.3%13%49.1%
Rank within sector2 / 21 / 22 / 21 / 22 / 2
Quartile
Risk statistics
Alpha
?Alpha is a measure of a fund's over- or under-performance by comparison to its benchmark. If the Alpha is 5, the fund has outperformed its benchmark by 5%; so the greater the Alpha, the greater the outperformance.
-0.84
Beta
?Beta estimates a fund's volatility by comparison to that of its benchmark. A fund with a beta close to 1 means that the fund will move generally in line with the benchmark. Higher than 1 and the fund is more volatile than the benchmark and vice versa.
1.08
Sharpe
?This commonly-used measure calculates the level of return over and above the return of a notional risk-free investment, such as cash. The difference in returns is then divided by the fund's volatility. The resulting ratio is an indication of the amount of excess return generated per unit of risk.
1.44
Volatility
?Volatility (or standard deviation), when applied to an investment fund, expresses its risk. It shows how widely a range of returns varied from the fund's average return over a particular period. For example, if a fund had an average return of 5%, and its volatility was 15, this would mean that the range of its returns over the period had swung between +20% and -10%.
18.08
Tracking error
?This measures the standard deviation of a fund's excess returns over the returns of an index or benchmark portfolio. As such, it can be an indication of 'riskiness' in the manager's investment style. A Tracking Error below 2 suggests a passive approach. At 3 and above the the manager will be deploying a more active investment style.
5.94
Information ratio
?This is a useful risk-adjusted measure of actively managed fund performance. It is calculated by deducting the returns of the fund's benchmark from the fund's overall returns, then dividing the result by its tracking error. The higher the Information Ratio the better. It is generally considered that a figure of 0.5 reflects a good performance, 0.75 very good, and 1.00 outstanding.
0.17
R-Squared
?An indication of how closely correlated a fund is to an index or a benchmark. Values for R-Squared range between 0 and 1, with 0 indicating no correlation at all and 1 showing a perfect match. Values upwards of 0.7 suggest that the fund's behaviour is increasingly linked to its benchmark.
0.89
Price movement
52 week high1055
52 week low727
Current bid price1026
Current offer price1032
Current mid price1028
Region
1North America65.7%
2Asia Pacific ex Japan16.3%
3Japan6.4%
4Europe ex UK4.7%
5Money Market4.1%
6UK1.8%
7Middle East/ Africa1%
Industry sector
1Software25.8%
2Internet25.6%
3Semi Conductors14.8%
4Hardware11.7%
5Electronic & Electrical Equipment4.5%
6Money Market4.1%
7Retail3.7%
8Others3.4%
9Information Technology2.3%
Asset type
1North American Equities65.7%
2Asia Pacific ex Japan Equities16.3%
3Japanese Equities6.4%
4Europe ex UK Equities4.7%
5Money Market4.1%
6UK Equities1.8%
7Middle East & African Equities1%
Individual holdings
1ALPHABET INC7.5%
2APPLE INC7%
3MICROSOFT CORP5.7%
4FACEBOOK INC5.4%
5SAMSUNG ELECTRONICS CO3.9%
6TENCENT HLDGS LIMITED2.9%
7AMAZON.COM INC2.8%
8ALIBABA GROUP HLDG LTD2.7%
9TAIWAN SEMICONDUCTOR MANUFACTURING1.8%
Management
Fund manager group
Polar Capital
Fund manager company
Polar Capital Partners Ltd
Fund type
Investment Trust
Fund objective
To maximise capital growth for shareholders through investment in a diversified portfolio of technology companies around the world.
Benchmark
  • Dow Jones World Technology Index
Investment style
None
Investment method
Shares
Fund managers
NameSinceBiography
Fatima lu31/03/2006Fatima joined Polar Capital in April 2006 after working as an analyst with Citigroup Asset Management for 18 months. She focuses on European technology stocks and has responsibility for coverage of the global alternative energy and medical technology sub-sectors. Fatima graduated from Imperial College London in 2002 with a degree in Medicinal Chemistry. She is a CFA charterholder.
Ben Rogoff30/04/2006Ben joined Polar Capital in May 2003. He is lead manager of Polar Capital Technology Trust plc and is also joint manager of the Polar Capital Global Technology Fund. Prior to joining Polar Capital he began his career in fund management at CMI, as a global technology analyst. He moved to Aberdeen Asset Managers in 1998 where he spent four years as a senior technology manager. Ben graduated from St Catherine’s College, Oxford in 1995.
Nick Evans31/08/2007Nick joined Polar Capital in September 2007. He has been lead manager of the Polar Capital Global Technology Fund since January 2008. Prior to joining Polar Capital he was head of technology at AXA Framlington and lead manager of the AXA Framlington global technology fund and the AXA World Fund (AWF) – Global Technology from 2001 to 2007 (both rated five stars by S&P). He also spent three years as a Pan-European investment manager and technology analyst at Hill Samuel Asset Management. Nick has a degree in Economics from Hull University.
Xuesong Zhao30/04/2012Xuesong joined Polar Capital in May 2012, having spent most of the previous five years working as an investment analyst within the emerging market & Asia team at Aviva Investors, where he was responsible for the technology, media and telecom sectors. Prior to that, he worked as a quantitative analyst and risk manager for the emerging market debt team at Pictet Asset Management. He started his career as a financial engineer at Algorithmics, now owned by IBM, in 2005. He holds an MSc in Finance from Imperial College Science & Technology, a BA (Hons) in Economics from Peking University and is a CFA charterholder.
Compliance
AIC Member
Domicile
No data available.
Fund for sale in
United Kingdom
Polar Capital Technology Trust PLC Ord 25p
Initial charge-
Annual charge-
Min single investment£0
Min regular saving£0
Available in ISANo
Ongoing charge (OCF)-
Total expense ratio (TER)-
Bid price-
Offer price-
Mid price1034.74
CurrencyGBX
Price updated18/08/2017
TypeAccumulation
Institutional or retail classRetail
Domicile-
Citi codeNJML
Polar Capital Technology Trust PLC Sub 1P
Initial charge-
Annual charge-
Min single investment£0
Min regular saving£0
Available in ISANo
Ongoing charge (OCF)-
Total expense ratio (TER)1.16%
Bid price0.1
Offer price0.7
Mid price0.4
CurrencyGBX
Price updated31/03/2014
Type-
Institutional or retail classRetail
Domicile-
Citi codeN0Q6
Data provided by

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