Citywire printed articles sponsored by:
View the article online at http://citywire.co.uk/wealth-manager/article/a700028
Threadneedle's trust board cheers Brazier's double-digit returns
by Sarah Miloudi on Aug 30, 2013 at 14:02
Simon Brazier has capped his first year in charge of the Threadneedle UK Select Trust with a double-digit share price rise.
Brazier (pictured) took charge of the investment company last year after Threadneedle won the mandate from Scottish Widows Investment Partnership.
Since winning the contract, the trust's board has successfully issued more than one million additional shares, helping to cut the fund's total expense ratio, and re-branded it while Brazier aligned its £37 million portfolio with his higher alpha strategy Threadneedle UK .
According to its latest half-year report, the trust's chair cheered the vehicle's 11.5% share price rise, which translates in to a return of 13.6% on a total return basis if dividends are included.
'The board remain very pleased with the investment performance,' the chair told investors.
Reflecting on performance in the trust's update for the six months ended 30 June, Brazier said that over the first quarter UK equities had performed well.
The backdrop was an optimistic one, not just for the UK but more broadly too, and during the period Brazier took profits on housebuilders, which are typically a play on an improving economy, albeit a less risky option than betting on banks.
Looking forward, Brazier said it remains to be seen whether the economy will continue to stride ahead and reach the 'escape velocity' new Bank of England governor Mark Carney seems to be hoping for.
'It is clear monetary policy will remain very accommodative, given the government's on-going commitment to austerity,' he argued, though he was writing before the last set of UK GDP data revealed a surprise revision upwards.
'At the company level, we retain our view the outlook for quoted UK companies is more encouraging than the domestic macro data might suggest, and we remain focused on well-managed, fundamentally strong businesses that we believe can deliver positive earnings surprises.'
News sponsored by:
The Citywire guide to investment trusts
Investment trusts have proved to be a highly effective way to invest in the market. Citywire has interviewed the experts to find out more.
Today's top headlines
More about this:
Look up the funds
Look up the fund managers
More from us
On the road
J.P. Morgan Elect on investment growth, income and cash. More information on J.P. Morgan investment trusts.
by Danielle Levy on Dec 12, 2013 at 09:03