F&C Investment Trust
Global Growth
Rated Fund 2015-20. Perfect for investors with smaller portfolios
Describing itself as cautiously managed, F&C – the UK’s oldest investment trust, established in 1868 – aims to appeal to those looking for their first investment or a core portfolio holding. Highly commended in the Best Global Growth category of Money Observer’s 2017 investment trust awards, it is a £4.3 billion trust with low annual running costs (0.65%) and a very well-diversified portfolio, holding more than 450 companies in 35 countries. “F&C provides excellent international diversified exposure for the smaller investor,” says IpsoFacto Investor director David Liddell.
Its recent performance has been impacted by its shares moving to a 6% discount from around par. That has since narrowed and could widen in volatile markets, Liddell says, but this should be mitigated by the board’s policy to repurchase shares if the discount widens meaningfully.
Paul Niven has been its manager since 2014, when BMO Asset Management bought the F&C funds business. Niven decides the asset allocation and level of gearing. He divides the portfolio into a range of global and regional strategies. Some of these, notably US equities and private equity, are subcontracted to external managers. Niven can have 20% in private equity (6.7% in June 2019) and, including this, the portfolio had 55% of assets in North America, 16% in Europe, 11% in emerging markets, 9% in Japan, 7% in the UK and 2% in the Asia Pacific at the end of 2019.
Besides its long-term growth objective, it has a 49-year history of annual dividend increases. It yields 1.5% and pays dividends quarterly.
Narrative and ratings content all as of January 2020.
See all Money Observer rated funds| Holding | % |
|---|---|
| Amazon.com Inc | 3.15 % |
| Pe Investment Holdings 2018 Lp Pe Invest | 2.97 % |
| Microsoft Corp | 2.50 % |
| Facebook Inc A | 1.82 % |
| Alphabet Inc Class C | 1.58 % |
| Apple Inc | 1.43 % |
| Mastercard Inc A | 1.15 % |
| UnitedHealth Group Inc | 1.07 % |
| Visa Inc Class A | 1.02 % |
| Alibaba Group Holding Ltd ADR | 1.01 % |
| Region | % |
|---|---|
| United States | 57.24 % |
| Eurozone | 9.88 % |
| Asia - Emerging | 7.71 % |
| Japan | 7.21 % |
| United Kingdom | 7.14 % |
| Sector | % |
|---|---|
| Technology | 18.29 % |
| Healthcare | 16.33 % |
| Financial Services | 15.95 % |
| Consumer Cyclical | 13.61 % |
| Communication Services | 10.52 % |
| Industrials | 8.41 % |
| Consumer Defensive | 7.42 % |
Managers
Paul Niven
Joined 07/01/2014
Paul Niven is Managing Director and Head of Multi-Asset Portfolio Management. He is also Fund Manager for the F&C Investment Trust. Paul joined the firm in 1996 and has worked in Asset Allocation and Investment Strategy since 1999. Paul has had responsibility for the management of Multi-Asset mandates within the group since 2002 and is Chair of the Investment Policy Group. Paul graduated from the University of Strathclyde with a BA (Hons) in Accounting and Economics, obtained an MPhil in Finance, and is a member of the UK CFA Institute.
Data provided by Morningstar.
The Content is only for your general information and use and is not intended to address your particular requirements. The Content does not constitute any form of advice, recommendation or arrangement by Money Observer and is not intended to be relied upon by you in making (or refraining from making) any specific investment or other decisions. Appropriate independent advice should be obtained before making any such decision.
This information is sourced from our partner Morningstar. We believe the data to be correct however you should take care in using any information.
You should be aware that prices may fall as well as rise and that the income derived can go down as well as up. When buying or selling any investment that fluctuates in price or value you may get back less than you invested. Past performance is not necessarily a guide to future performance.