Over the past three years to 11 March, investors in Neil Woodford’s flagship LF Woodford UK Equity Income fund (WEIF) have suffered losses of 6%, punctuated by a particularly poor 2018, when the fund was down 16.4%. In contrast, the average UK equity income fund has gained 20% over three years.
Neil Woodford’s Patient Capital trust has been demoted from the FTSE 250 index in the latest quarterly review of the index.
The reshuffle was based on closing prices on 29 May and will come into effect on 18 June. It has also seen Marstons, the Pets at Home Group and Purecircle drop out of the FTSE 250.
After rising by nearly 17 per cent over the past month, the trust has plunged following a major set back by one of its largest holding.
Gary Millward at Alan Steel Asset Management explains the higher-income portfolio’s performance over its first year of operation.
Woodford Equity Income has failed to beat or match the FTSE All Share index yield over the past three years.
Exclusive interview: Neil Woodford explains why he remains confident his bet on the UK domestic economy will pay off.
Fund manager Neil Woodford gives his views on the Brexit negotiations, outlining why he thinks the UK will secure a deal.
This month both the Income Focus and Equity Income funds generated positive returns.
Neil Woodford is not the only big-name to produce below-par performance recently.
Investors should remember that every fund manager has stocks in his portfolio that can go through difficult times from time to time.