Fact sheet: Schroder Income

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.
UK EQUITY INCOME
Sector
UT UK Equity Income
Fund type
Unit Trust
Primary aim
GROWTH & INCOME
Why Money Observer Rates Schroder Income

New for 2018. Disciplined value-driven approach

If you're looking to gain exposure to large, higher yielding UK companies, this fund could be for you.

It's all about the price paid at entry for managers Kevin Murphy and Nick Kirrage, whose investment process starts with a number of valuation screens. They aim to identify companies that are trading at significant discounts to their perceived fair values and take a three- to five-year view on the stocks they are buying.

'As a result, the fund will have periods when it is out of favour, followed by material periods of sharp returns, underpinned by a solid income stream,' says Ben Willis, head of research at Whitechurch Securities. 'It's not for the faint-hearted, but it is all about long-term total returns, which the fund has ably delivered.' The wealth manager has held it for clients for the past decade.Morningstar analysts also rate the fund, which yields 3.1 per cent and pays income half-yearly, on the strength of its managers' disciplined adherence to their value-driven approach.The managers are ideally looking for stocks with a high dividend yield and income growth. Unlike many peers, they are willing to invest in companies that have cut their dividends, if they believe it reflects an inflection point in the company's strategy and share price.The fund tends to deviate significantly from its FTSE All-Share benchmark in terms of the sectors and sizes of companies it is exposed to, which can result in a performance profile that looks erratic on a calendar year basis. Investors who can tolerate this extra volatility have been rewarded over the long term.<\p>

3 Year Performance
Fund Performance25.5%
Average of Rated Funds Group24.3%
Sector Performance14.5%
Fund information
Fund name
Schroder Income Z Acc
Fund manager company
Schroder UT Managers
Fund type
Unit Trust
Fund managers
  • Kevin Murphysince 18/05/2010
  • Nick Kirragesince 18/05/2010
Accolades
Fund objective
The Fund aims to provide income and capital growth by investing in equity and equity related securities of UK companies.
Benchmark
  • FTSE All Share TR
Investment style
Concentrated,Value
Investment method
Shares
Quick stats
1 Year return
16.7%
1 Year rank in sector
1/94
Sector
UT UK Equity Income
Yield
3.4%
Ongoing charge (OCF)
?A fund’s ongoing charges figure (OCF) is similar to the old-style total expense ratio. It reflects the annual charge to investors in the fund, in percentage terms, but does not include extra performance-related fees (where these are levied) or the fund’s trading expenses on its underlying investments.
0.91%
Fund size
£2,210m (£1,958m last year)
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.
97
Bid price
103.1
Offer price
103.7
Top in this sector
Fund name1 Year
Schroder Income16.7%
Man GLG UK Income16%
JOHCM UK Equity Income15.3%
Schroder Income Maximiser14%
Allianz UK Equity Income12.5%
...more in UT UK Equity Income

Performance snapshot

Holdings snapshot

  • UK82.9%
    USA8.9%
    Australia4.2%
    Italy2%
    Money Market2%
  • Financials30.7%
    Consumer Services21%
    Basic Materials11.7%
    Oil & Gas10%
    Health Care9.9%
  • UK Equities82.8%
    US Equities9.2%
    Australian Equities4.2%
    Money Market4%
    Alternative Investment Strategies-0.1%

Performance vs Sector

Cumulative performance
 1 mth3 mth6 mth1 yr3 yr5 yr
Fund6%2.6%7.2%16.7%25.5%68.5%
Sector3.7%-2.6%-0.9%5.2%14.5%46.8%
Rank within sector4 / 1001 / 981 / 961 / 946 / 858 / 81
Quartile1st1st1st1st1st1st
Calendar performance
 YTD - 20182017201620152014
Fund5.5%9.3%25.3%-6.6%4.9%
Sector-2%11.2%9.1%4.9%2.8%
Rank within sector1 / 9864 / 933 / 8883 / 8328 / 82
Quartile1st3rd1st4th2nd
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.
2.18
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.
0.93
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.
0.28
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%.
9.94
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.
6
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.
0.29
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.
0.64
Price movement
52 week high103.1
52 week low88.76
Current bid price103.1
Current offer price103.7
Current mid price-
Region
1UK82.9%
2USA8.87%
3Australia4.19%
4Italy2.04%
5Money Market2.02%
6Not Specified-0.01%
Industry sector
1Financials30.72%
2Consumer Services20.99%
3Basic Materials11.68%
4Oil & Gas9.96%
5Health Care9.94%
6Technology6.81%
7Utilities6.38%
8Money Market2.02%
9Telecommunications1.51%
Asset type
1UK Equities82.76%
2US Equities9.16%
3Australian Equities4.21%
4Money Market4%
5Alternative Investment Strategies-0.13%
Individual holdings
1HSBC HLDGS5.57%
2PEARSON5.31%
3GLAXOSMITHKLINE5.24%
4BP5.14%
5ANGLO AMERICAN4.95%
6CENTRICA PLC4.58%
7AVIVA4.5%
8SOUTH32 LTD4.19%
9MORRISON(WM.)SUPERMARKETS4.03%
Management
Fund manager group
Schroders
Fund manager company
Schroder UT Managers
Fund type
Unit Trust
Fund objective
The Fund aims to provide income and capital growth by investing in equity and equity related securities of UK companies.
Benchmark
  • FTSE All Share TR
Investment style
Concentrated,Value
Investment method
Shares
Fund managers
NameSinceBiography
Kevin Murphy18/05/2010Co-manager of Schroder UK Income, Schroder UK Recovery and Global Recovery funds, Founding member of the Global Value Team in 2013, Investment career commenced in 2000 in Schroders’ UK Equity fund management team, Previously sector analyst for Pan European Construction and Building Materials, Chartered Financial Analyst, Degree in Economics, Manchester University
Nick Kirrage18/05/2010Co-manager of Schroder UK Income, Schroder UK Recovery and Global Recovery funds, Founding member of the Global Value Team in 2013, Investment career commenced in 2001 within Schroders’ Pan European research team, Previously analyst responsible for a number of sectors including Transport, Metals & Mining and Aerospace and Defence sectors, Chartered Financial Analyst, Degree in Aeronautical Engineering, Bristol University
Compliance
IA Recognised, UCITS IV Compliant
Domicile
No data available.
Fund for sale in
United Kingdom
Schroder Income A Acc
Initial charge-
Annual charge1.5%
Min single investment£1,000
Min regular saving£500
Available in ISAYes
Ongoing charge (OCF)1.66%
Total expense ratio (TER)-
Bid price9858
Offer price9912
Mid price-
CurrencyGBX
Price updated20/04/2018
TypeAccumulation
Institutional or retail classRetail
Domicile-
Citi codeUM09
Schroder Income A Inc
Initial charge-
Annual charge1.5%
Min single investment£1,000
Min regular saving£500
Available in ISAYes
Ongoing charge (OCF)1.66%
Total expense ratio (TER)-
Bid price1236
Offer price1243
Mid price-
CurrencyGBX
Price updated20/04/2018
TypeIncome
Institutional or retail classRetail
Domicile-
Citi codeUM10
Schroder Income L Acc
Initial charge-
Annual charge0.68%
Min single investment£0
Min regular saving£0
Available in ISAYes
Ongoing charge (OCF)0.83%
Total expense ratio (TER)-
Bid price76.29
Offer price76.71
Mid price-
CurrencyGBX
Price updated20/04/2018
TypeAccumulation
Institutional or retail classRetail
Domicile-
Citi codeJOVL
Schroder Income L Inc
Initial charge-
Annual charge0.68%
Min single investment£0
Min regular saving£0
Available in ISAYes
Ongoing charge (OCF)0.83%
Total expense ratio (TER)-
Bid price64.25
Offer price64.6
Mid price-
CurrencyGBX
Price updated20/04/2018
TypeIncome
Institutional or retail classRetail
Domicile-
Citi codeJOVM
Schroder Income Z Acc
Initial charge-
Annual charge0.75%
Min single investment£1,000,000
Min regular saving£100,000
Available in ISANo
Ongoing charge (OCF)0.91%
Total expense ratio (TER)-
Bid price103.1
Offer price103.7
Mid price-
CurrencyGBX
Price updated20/04/2018
TypeAccumulation
Institutional or retail classRetail
Domicile-
Citi codeNNC9
Schroder Income Z Inc
Initial charge-
Annual charge0.75%
Min single investment£1,000,000
Min regular saving£100,000
Available in ISANo
Ongoing charge (OCF)0.91%
Total expense ratio (TER)-
Bid price79.46
Offer price79.9
Mid price-
CurrencyGBX
Price updated20/04/2018
TypeIncome
Institutional or retail classRetail
Domicile-
Citi codeNND0
Data provided by

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