Who is it for
Jupiter Strategic Bond
Strategic bond funds are 'go anywhere' funds able to root out the best opportunities across the fixed income spectrum. Jupiter Strategic Bond, being very risk-averse, is a good fit for this medium-risk portfolio
Provides exposure to large global companies with strong brands.
Capital Gearing IT
Tracks the performance of the FTSE All Share Index.
Royal London Sustainable Diversified Trust
Invest in growing, innovative companies having a positive impact on society.
LF Lindsell Train UK Equity
Manager Nick Train stresses the fund's emphasis on maintaining or growing the real value of investors' capital and income over time
Quilter Investors Cirilium Conservative Portfolio
Invests in a mixture of equities and bonds (name has changed from Old Mutual to Quilter Investors)
Mid Wynd International
For added diversification we have put 10% of assets into this global equity trust that focuses on high-quality companies
Why these funds were selected
With the aim of protecting investors from excessive volatility, this portfolio has three core holdings which each invests in a mixture of bonds and equities - Artemis Monthly Distribution, Quilter Investors Cirilium Conservative Portfolio and Royal London Sustainable Diversified Trust. Bonds tend to fluctuate less in value than shares, while the UK equity exposure in these funds provides growth potential. The managers of the funds adjust their holdings in each type of security in response to market conditions.
The portfolio also holds the Capital Gearing Investment Trust to bring an element of capital preservation for this short-term portfolio in the event of a market correction. To spread risk further two internationally invested funds, Fundsmith Equity and LF Lindsell Train UK Equity, which replaced Lindsell Train Global Equity in June 2018, are included. The managers of these two funds are highly experienced and focus on well established, stable companies.
Model Portfolio Alpha performance 2 December 2019
|Total return (%) over:|
|1 mth||6 mths||1 year||3 yrs||5 yrs||Inception|
|FTSE All Share||2.2||5.8||11.0||24.0||36.9||77.5|
|FTSE UK Private Investor Growth||1.7||6.7||10.4||27.9||49.9||89.7|
JUPITER STRATEGIC BONDJanuary 2019
It is very risk-averse. All the recent return has come from its yield, but this is a good addition for a shorter-term growth portfolio
ARTEMIS MONTHLY DISTRIBUTIONJanuary 2019
This was the portfolio's worst performer over the past year. Replaced by Jupiter Strategic Bond
LF LINDSELL TRAIN UK EQUITYJune 2018
Increases the portfolio's exposure to UK equity market.
LINDSELL TRAIN GLOBAL EQUITYJune 2018
Swapped for LF Lindsell Train UK Equity as there is little exposure to UK equity market in this portfolio
CAPITAL GEARING TRUST ITJanuary 2018
Sold HSBC fund because of the potential for short-term losses from equity volatility and replaced it with Capital Gearing IT to being an element of capital preservation