Artemis Monthly Distribution Fund I Inc

Mixed Asset 41-60% Equity

Rated Fund 2016-19. Lower-risk yield ideal for pension investors

Artemis Monthly Distribution was named Best Lower Risk Mixed Asset Fund in Money Observer’s 2017 awards. Morningstar upgraded its rating from bronze to silver in 2018. We have moved it into our balanced risk category this year due to its equity content creeping up to 45%.

The fund yields 4.4% and income is paid monthly, making it ideal for pension investors drawing an income from their portfolios. It differs from peers in that it has a significant level of overseas exposure.

James Foster and Jacob de Tusch-Lec have run the fund since its inception in 2012. They are responsible for the portfolio’s respective bond and equity holdings. They use the same approaches they take with other funds they manage. Foster takes his best ideas from the Artemis Strategic Bond fund, while de Tusch-Lec uses the same stock-picking approach and core income ideas from the Artemis Global Income fund.

The managers believe their differing but complementary perspectives allow them to identify where the value lies in a company’s capital structure. In some cases, a company’s bonds will offer a better return than its shares and vice-versa.

The managers favour quality businesses in robust financial positions. They do not ignore what is going on in the wider economy either. They select the holdings they feel are right for prevailing economic conditions. De Tusch-Lec points out that while some other income funds rely on ‘defensive’ income stocks, this fund takes a more flexible approach to investing in equities, holding ‘value’ or ‘cyclical’ stocks depending on the prevailing conditions at the time. The fund has ongoing charges of 0.84%.

Narrative and ratings content all as of 01 January 2019.

See all Money Observer rated funds
Name
Artemis Monthly Distribution Fund I Inc
Manager
Artemis Fund Managers Limited
Type
Unit Trust
ISIN
GB00B6TK3R06
Sector
Mixed Investment 20-60% Shares
Launched
21/05/2012
OCF
0.84 %
Risk Rating
4
3 Year Sharpe
0.78
3 Year Alpha
0.17
Yield
4.2 %
Benchmark
IA Mixed Investment 20-60%Shares
The Fund aims to achieve an income in addition to capital growth. The Fund aims to achieve its objective by investing in a globally diversified portfolio of assets. Exposure will normally be to global equities, bonds and cash. The proportion of the Fund allocated to each asset class as well as the underlying stock selection will be actively managed.
Holding %
United States Treasury Notes 3.12% 2.12 %
United Kingdom of Great Britain and Northern Ireland 0.75% 2.00 %
The GEO Group Inc 1.82 %
Verizon Communications Inc 1.53 %
Guangdong Investment Ltd 1.47 %
United States Treasury Notes 2.62% 1.45 %
ENAV SpA 1.38 %
Rai Way SpA 1.19 %
Arion banki hf ADR 1.17 %
Play Communications SA 1.07 %
Region %
United States 34.68 %
Eurozone 24.41 %
Europe - ex Euro 11.60 %
Asia - Emerging 7.27 %
Europe - Emerging 5.12 %
Sector %
Industrials 20.27 %
Real Estate 15.06 %
Financial Services 13.62 %
Communication Services 9.56 %
Energy 8.73 %
Utilities 8.58 %
Healthcare 6.71 %
Basic materials 6.12 %
Consumer Cyclical 5.97 %
Name
Artemis Fund Managers Limited
Address
SW1A 1LD, London, United Kingdom
UCITS
Yes
Legal Structure
Unit Trust

Managers

Jacob de Tusch Lec
Joined 05/21/2012

Jacob’s career in investment management began in 1998 at Copenhagen-based BankInvest, one of the largest independent fund managers in Scandinavia, where he was a portfolio manager on the Central and Eastern European/Russia Equity Unit Trust. In 2002 he joined Merrill Lynch’s global equity macro research department as vice president of pan-European equity strategy. He returned to managing money in 2005 when he joined Artemis. Jacob holds a BA and an MSc in Economics from the University of Copenhagen; and an MBA from the Stern School of Business at New York University (NYU), specialising in international economics and finance. During his time at NYU he was a teaching assistant under the internationally acclaimed economist, Professor Nouriel Roubini.

James Foster
Joined 05/21/2012

James has managed the Artemis Strategic Bond Fund with Alex Ralph since launch in June 2005. He has also run the Artemis Monthly Distribution Fund with Jacob de Tusch-Lec since its launch in May 2012. James has 20 years' experience of managing bond funds and was one of the first to establish a retail bond fund in the UK. He joined Artemis in April 2005 from F&C Asset Management where he was the head of credit, ultimately responsible for about 15 billion of assets.

Data provided by Morningstar.

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