LF Lindsell Train UK Equity Fund Accumulation

UK Growth

Rated Fund 2016-20. Backs big brands and holds for the very long term  

Managed by seasoned and talented UK equity manager Nick Train, this fund won Money Observer's Best Larger UK Growth Fund award in 2015 and has been a Rated Fund since 2016. It is almost a mirror of Finsbury Growth & Income Trust, a newcomer to our line-up for 2020, but we feel this fund deserves to keep its place for those who prefer to access the strategy through an open-ended structure. We considered moving the fund from our core to adventurous picks on account of its highly concentrated portfolio, which was called into question in 2019 as investors pulled money out of the fund.

The top 10 stocks in Lindsell Train UK Equity account for 83% of the portfolio with the largest holding, analytics publisher Relx, making up 10%. In response, Train highlights the liquidity inherent in his approach, which leads him to invest predominately in well-established companies with multi-billion-pound valuations. The fund has no unquoted/unlisted holdings and never has had.

Train stresses that he cares more about maintaining or growing the real value of investors' capital and income over time than outperforming a stockmarket index. The investment process he uses across all of his funds is based on his conviction that inefficiencies exist in the valuation of exceptional quoted companies. "Excellent companies do tend to create great wealth for their patient owners over time, and this is exactly the effect we are hoping to capture with our strategy," he says. Having re-examined the fund's liquidity and its constituent holdings, the selection committee has confirmed its place as a core UK Growth selection.

Narrative and ratings content all as of January 2020.  

See all Money Observer rated funds
Name
LF Lindsell Train UK Equity Fund Accumulation
Manager
Lindsell Train Ltd (Link)
Type
Open Ended Investment Company
ISIN
GB00B18B9X76
Sector
UK All Companies
Launched
10/07/2006
OCF
0.65 %
Risk Rating
2
3 Year Sharpe
1.17
3 Year Alpha
7.76
Yield
1.9 %
Benchmark
FTSE AllSh TR GBP
The investment objective of the Company is to invest in the securities of companies which are listed, quoted or dealt on any of the markets of the London Stock Exchange, including the Alternative Investment Market (AIM), with the objective of achieving capital and income growth and providing a total return in excess of that of the FTSE All-Share Index. It is the Company’s policy to invest primarily in ordinary shares, preference shares and convertible bonds listed, quoted or dealt in or any of the markets of the London Stock Exchange, including AIM. It is the Company’s policy not to invest in unlisted securities, other collective investment schemes, warrants, derivatives, immovables or gold.
Holding %
London Stock Exchange Group PLC 10.19 %
RELX PLC 10.06 %
Diageo PLC 9.74 %
Unilever PLC 9.19 %
Burberry Group PLC 8.81 %
Mondelez International Inc Class A 8.77 %
Schroders PLC 8.07 %
Hargreaves Lansdown PLC 7.61 %
Sage Group (The) PLC 6.88 %
Heineken Holding NV 5.02 %
Region %
United Kingdom 82.61 %
United States 8.81 %
Eurozone 8.59 %
Sector %
Consumer Defensive 37.09 %
Financial Services 29.95 %
Communication Services 14.50 %
Consumer Cyclical 11.56 %
Technology 6.90 %
Name
Lindsell Train Ltd (Link)
Address
United Kingdom
UCITS
No
Legal Structure
Open Ended Investment Company

Managers

Nick Train
Joined 07/11/2006

Nick Train co-founded Lindsell Train Limited in 2000. He is the portfolio manager for UK equity portfolios and jointly manages Global portfolios. Before founding Lindsell Train he was head of Global Equities at M&G Investment Management, having joined there in 1998 as a director. Previously he spent 17 years (1981 – 1998) at GT Management which he left soon after its acquisition by Invesco. At his resignation he was a director of GT Management (London), Investment Director of GT Unit Managers and Chief Investment Officer for Pan-Europe. Nick has a BA honours degree in Modern History from Queen’s College, Oxford.

Data provided by Morningstar.

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