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Mark Barnett: what questions would you like to ask him?

Invesco Perpetual income fund manager Mark Barnett is coming in for two video interviews next week. Here is your chance to suggest some questions.

 
Mark Barnett: what questions would you like to ask him?

Mark Barnett, head of UK equities at Invesco Perpetual, is visiting Citywire next week to do two video interviews and we’d like to hear your suggestions for questions we could ask him.

One video will focus on the flagship Invesco Perpetual Income and High Income  open-ended funds he took on in March 2014 after the departure of his former boss, and now rival, Neil Woodford.

The other video will focus on his two UK equity income investment trusts: Edinburgh (EDIN ), which he also took on from Woodford in January 2014 and Perpetual Income & Growth (PLI ), which he has run since July 1999.

Please use the comments box to suggest a question, indicating which video it is for.

You may wish to quiz him on performance – we do! The 10-year track records of both Perpetual Income and Invesco Perpetual UK Strategic Income, which he has run the longest, shows Barnett’s skill as a fund manager. Total returns of both are ahead of their sectors and the FTSE All Share. However, as has been well documented, over three years the picture is reversed with all his funds lagging their sector and stock market benchmark.

In the past year, stock disappointments have mounted with difficult times for a number of holdings such as AstraZeneca (AZN), Capita (CPI), Circassia Pharmaceuticals (CIRC), Next (NXT) and most recently Provident Financial (PFG). It will be very interesting to see how he is feeling after these setbacks.

So tell us your questions about these and other topics and we will do our best to include them.

18 comments so far. Why not have your say?

JohnR

Nov 15, 2017 at 17:51

Does Mr. Woodford still cast a shadow over IP?

How disruptive was his departure?

Why are you still (apparently) aping him?

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TimCo

Nov 15, 2017 at 18:03

What is he planning to do to turn around recent dire performance of his funds? He seems to have backed a number of under performing sectors does he intend to continue with these or review his approach which is not currently working!

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Ken Adams

Nov 15, 2017 at 18:20

I am not so concerned about past performance much more interested in what he thinks of the future of U.K. equities.

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Chris Davies via mobile

Nov 15, 2017 at 18:52

Sod all this investment stuff.Let's stick with the important stuff.

What do you want from SANTA this year?

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Law Man

Nov 15, 2017 at 19:00

How does Mr Barnatt distinguish his ITs (EDIN & PLI) in substance, style and his approach.

I do not mean obvious facts - gearing, holding private equity or small companies - but the implications.

I hold both.

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TimCo

Nov 15, 2017 at 19:29

Obviously future performance is key. If you always do want you always did you always get what you always got ! Be interested to know if he is planning changes to approach or sticking with current approach.

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joseph o neill

Nov 15, 2017 at 19:52

You can add CNA,BT,BAB,to that list of dogs.Mark comes over as a decent man, though been very staid in adapting to market dynamics, new trends etc.

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andrew moffat

Nov 15, 2017 at 23:12

For the Investment Trust video:

Why should I buy EDIN or PLI? Why not just buy into the Woodford funds for the real thing, given EDIN and PLI appear to shadow Woodford but are now run by Woodford's former deputy? Is there no original thinking and have Woodford and his former No 2 lost their touch anyway? The market thinks so: the discount has gradually been rising on both trusts.

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Hugh M

Nov 16, 2017 at 06:00

As an ex-pat, why on earth would I buy one of M.B's funds when they are so stagnant? Even when they rise, the £ falls so the fund is worth less in foreign currency. There are better options e.g. Evenlode Income with stocks having international sales and a 3.3% yield. I'm currently overweight Asia and Global. I intend to stay that way with Brexit on the horizon which could decimate the £ even further.

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Les Ware

Nov 16, 2017 at 13:47

People new that provendent was in trouble why ditant you or your analysis see it. After Woodford I stuck with you. I was wrong. You don’t talk to your investors . To reassure them . Smith does . Lindsell ,does . Hargreaves , new there is a problem, that’s why you are no longer on there list. Tell me why I should stay with you.

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King Lodos

Nov 16, 2017 at 15:02

How hard is it to find value in these markets, and does the search for value nudge you towards taking riskier positions today? .. Could this explain some of your and Woodford's recent bad luck?

Thank you

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Micawber

Nov 16, 2017 at 17:26

1. On what quantitative grounds does Mr Barnett make the key strategic judgment that domestic-facing UK shares will do well in Brexit? To what extent does he factor in different expected performances from a Brexit with continuing access to the single market under a preferential deal, and Brexit with no deal and reversion to WTO tariffs, dual approvals, etc etc?

2. How would Mr Barnett see a Corbyn-McDonnell government impacting his portfolios, with policies of increased national debt, infrastructure spending, benefits spending, reduced defence budget, nationalisation of utilities and rail, increased corporation tax?

3. What is the extent of micro or unlisted or early-stage companies in his portfolios, what net contribution have they made; what contribution is he expecting them to make over what time-frame; and is he expecting to increase or decrease his exposure to such companies?

4. How confident is he that high-yielding blue chips in his portfolio (be specific) will be able to (a) sustain and (b) grow their dividends beyond the rate of RPI?

5. What will be the effect of each UK interest rate rise of 0.5% on his portfolio yields and capital values? Ditto for each 0.5% rise in Fed rates?

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David L via mobile

Nov 16, 2017 at 19:54

Is tobacco still a good investment?

Of the two UK listed tobacco stocks, which is the best investment and why?

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Micawber

Nov 17, 2017 at 13:42

On Perpetual Income and Growth: glad to see Barnett has been reducing his tobacco dependency, but still high at 11% (not counting any tobacco holdings outside the Trust's top ten). The top ten also includes BT with its balance sheet problems (pension fund) and other problems, and BAE the future of which must be in doubt (declining defence budget, America First policies, pressure on lucrative exports to Saudi etc.; pacifist Corbyn waiting in the wings; Brexit and now Eurodefence moves which if they gain traction will likely focus on arms manufacturers in member states participating.) Does Barnett assess his holdings for the probability of secular decline of sectors or individual companies, or does he simply take a short term view of "value"?

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Les Ware

Nov 17, 2017 at 15:55

With Barnett we just don’t no. The lack of information is borderline scandal. I lived in the USA for some time . And they would not allow this lack of information, to go on. How can you back a man . Who tells you nothing. I’m am out of his funds in the new year. Please tell me is there reason to stay. Apart from perpual small com. Any body please.

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andrew moffat

Nov 17, 2017 at 16:09

It seems to me, Les, that Barnett is a closet tracker of his former boss, Woodford. Well, to be fair, Woodford might have the last laugh with his strategy but he has made some clumsy errors with some of his selections recently and these are not related to market fashion. Barnett has, to a significant degree, aped those errors.

Moreover, Barnett has rather a lot on his plate: in addition to his investment trusts, he runs open-ended funds too.

Surely, the Board of Edinburgh IT is becoming impatient?

There are too many questions and concerns - many articulated above - but, again to be fair, perhaps Barnett hopes to clear the air with this interview. We shall see.

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Patzer

Nov 17, 2017 at 16:26

Why should I continue to hold IPHI which I will need to deplete between 2022-2025?

I have left a version of this comment under the same article on Citywire Investment Trust Insider - not sure how it got there?

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richard tomkin

Nov 18, 2017 at 16:47

@ les ware ( supra ) : I love your mastery of the English language !!

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