Slater Growth Fund Class P Acc

UK Growth

Rated Fund 2016-2018. Concentrated portfolio of high conviction stocks

Winner of Money Observer's Best Larger UK Growth Fund award in 2016 and a Rated Fund for three years, we have this year moved Slater Growth from our 'adventurous' to 'core' selections on the grounds of its low FE Risk Score.

In order to draw up a short list of suitable stocks, fund manager Mark Slater, who co-founded Slater Investments with Ralph Baber in 1994, first screens for companies that are growing their earnings at an above-average rate and can be bought relatively cheaply. This eliminates 95 per cent of the stock market. He then focuses on the degree to which growth is likely to be delivered, looking for identifiable tailwinds that make growth more certain.

He describes his investment style as 'focused, disciplined and based on common sense'. He does not favour any particular size of company. He explains that because value moves around there are times when the fund has more exposure to large or small companies, but says this is driven entirely by the opportunity set.

He likes to maintain a relatively concentrated fund of between 30 and 35 different companies in which he has a high conviction. However, positions in very small companies are limited to a maximum of 1 per cent of the portfolio to ensure reasonable aggregate fund liquidity.

Slater believes a good growth business should perform well over the long term, provided it has been bought at a reasonable price. However, he points out that other types of company become 'flavour of the month' for investors sometimes, so a growth approach may not always outperform, even though over time he believes the approach is extremely effective.

Narrative and ratings content all as of 01 January 2018.

See all Money Observer rated funds
Name
Slater Growth Fund Class P Acc
Manager
Slater Investments Limited
Type
Unit Trust
ISIN
GB00B7T0G907
Sector
UK All Companies
Launched
31/12/2012
OCF
0.78 %
Risk Rating
4
3 Year Sharpe
1.00
3 Year Alpha
6.44
Yield
0.7 %
Benchmark
IA OE UK ALL Companies
The investment objective of the Scheme is to achieve capital growth. The Scheme will invest in companies both in the UK and overseas but concentrating mainly on UK shares. The Scheme will focus in particular on shares which the Manager believes are currently under-valued and that have the potential of a significant re rating. Other investments including bonds, warrants, deposits and collective investment Schemes may be used where it is considered that they meet the investment objective. It is also intended where appropriate to take advantage of underwritings and placings. At times it may be appropriate for the Scheme not to be fully invested but to hold cash and near cash. The Scheme may invest in derivatives and forward transactions but only for hedging purposes.
Name
Slater Investments Limited
Address
EC3M 1BD, London, United Kingdom
UCITS
Yes
Legal Structure
Unit Trust

Managers

Mark Slater
Joined 03/30/2005

Mark Slater co-founded Slater Investments, the specialist UK equity fund manager, in 1994. The company manages a hedge fund, three unit trusts and portfolios for large pension schemes and high net worth individuals. Mark is Chairman and Chief Investment Officer. The company has achieved very strong investment performance since inception. Notably, Slater Investments managed a top performing fund in the mid to late 1990s and produced very resilient results during the 2000-2003 bear market. More recently, the company's MFM Slater Growth Fund has ranked as the best performing fund in its sector over three and five years. The Financial Times reported that Mark Slater is one of the ten most consistent fund managers with a long term track record in achieving outperformance. Prior to founding Slater Investments, Mark worked as a financial journalist with Analyst PLC and the Investor's Chronicle. Also, in 1992, he helped research and edit a best-selling investment book "The Zulu Principle" for his father, Jim Slater, which focuses on identifying small to medium-sized growth companies. During his career, Mark has served on the boards of four public companies in which he has been a substantial shareholder. Mark has an MA in History from Cambridge University.

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