Twitter icon Email alerts icon Latest News RSS icon Magazine icon Stay connected:

View the article online at http://citywire.co.uk/wealth-manager/article/a756208

Performance Review: why Duncan Lawrie is backing Barnett

by Elsa Buchanan on Jun 17, 2014 at 12:58

Performance Review: why Duncan Lawrie is backing Barnett

Duncan Lawrie Private Bank is backing Citywire AAA-rated Mark Barnett (pictured) as manager of the Invesco Perpetual Income fund, as his predecessor Neil Woodford launches a rival fund.

James Humphreys, head of research at Duncan Lawrie, said the team is sticking with Barnett’s fund, despite it suffering heavy redemptions over the last few months.

While the fund closed April with £7.8 billion of assets – a decline of £495 million from the amount recorded at the end of March – Humphreys remains confident of Barnett’s abilities.

‘Woodford’s departure was a loss, but Barnett is a very experienced manager. We’re happy the process remains the same and that he is very competent, although we are following Woodford closely,’ he said. ‘The fact that Woodford is negotiating with Invesco about direct sales confirms they are trying to avoid at all cost a lot of volatility in those stocks.’

He said his team had not made ‘dramatic’ changes recently to the private bank’s balanced portfolios, preferring to rebalance towards longer-term strategic positions.

A portfolio typically has 37% in UK equities through direct holdings, while actively managed funds are used for small and mid cap exposure.

Barnett’s fund sits alongside the Liontrust Macro Equity Income fund, managed by Citywire + rated duo Stephen Bailey and Jan Luthman, and the Artemis Income fund, run by A-rated Adrian Frost. Humphreys acknowledged that UK equities are not cheap but said any volatility over the summer could provide a buy opportunity.

Elsewhere, he is reviewing his 5% exposure to Europe, which includes the Standard Life European Equity Income fund, managed by A-rated Will James.

A mix of vehicles, comprising the HSBC S&P 500 ETF and the Finlay Park American and Threadneedle American Select funds, make up his weighting to the US, the portfolio’s second largest at 13%. While this helped to drive returns last year, sterling’s strength against the dollar hampered recent performance.

Over 12 months, the model has returned 10.7%, outperforming the ARC Sterling Balanced Asset PCI, which was up 9.2%. Over three years, it has delivered 19.4%, versus the benchmark’s 14.2% rise.

Sign in / register to view full article on one page

leave a comment

Please sign in here or register here to comment. It is free to register and only takes a minute or two.

News sponsored by:

Sponsored Video: Bringing it all back home


As the UK coalition government strives to rebalance the national economy, so called 'reshoring' looks set to play an increasingly important role in economic recovery.

Today's top headlines

Investing for income in a changing environment


With talk on interest rates on the horizon, our latest roundtable debate covers income investing against a changing backdrop

More about this:

Look up the funds

  • Invesco Perpetual Income Inc
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Liontrust Macro Equity Income Fund - Acc (R)
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Artemis Income R Inc
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Standard Life Inv European Equity Income Ret Inc
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Threadneedle American Select Inst Net Acc USD
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Aberdeen Asia Pacific Equity A Acc
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Newton Asian Income GBP Inc
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Jupiter Strategic Bond Acc
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • M&G Strategic Corporate Bond A Inc
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • PFS TwentyFour Dynamic Bond A Ret Acc
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Standard Life Inv Glo Abs Ret Strategies Inst Acc
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Ignis Absolute Ret Gov Bond GBP A Acc
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them

Look up the investment trusts

  • F&C Commercial Property (Ordinary Share)
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • UK Commercial Property (Ordinary Share)
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them

More

  • HSBC S&P 500 ETF
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them

Look up the fund managers

  • Mark Barnett
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Neil Woodford
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Stephen Bailey
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Jan Luthman
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Adrian Frost
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Will James
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Hugh Young
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Jason Pidcock
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Ariel Bezalel
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Richard Woolnough
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them
  • Guy Stern
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them

More from us

Archive

On the road

Click here to find out more from the Audience Development team.

Sorry, this link is not
quite ready yet