Top 20 most consistent investment trusts over 10 years
26th May 2017 15:03
One of the biggest challenges a do-it-yourself investor faces is finding the cream of the crop among the thousands of funds all aiming to do the same thing - beat the market and their peers - as only a few will be able to consistently add significant value over long periods.
In the case of investment trusts the playing field is narrower, with around 400 closed -ended funds to choose from, but with hundreds of trusts to choose from finding those that have the reliability factor remains an uphill task.
To help investors focus their sights on trusts that have earned their stripes over the years as consistent performers the Association of Investment Companies (AIC) has crunched the numbers and came up with its own league table, which consists of the top 20 most consistently performing investment companies over the last 10 years.
The AIC ranked trusts by discrete annual returns and benchmarked outperformance against the overall average trust. Where two trust had the same consistency score, volatility of returns was used to differentiate between them.
The two top performers were from the global sector, which dominates the list, with five out of twenty trusts being global. This may not come as a surprise given that global funds have the freedom to invest anywhere they see fit.
Taking pole position is
, managed by Michael Lindsell and Nick Train, while , managed by Peter Ewins, follows in second place.It is worth noting the UK features strongly, with five UK-focused trusts featured in the list, they are:
, , , and .Annabel Brodie-Smith of the AIC says: "It's important for investors to remember that performance is only one factor to consider when researching investment companies and they also need to look at other criteria including portfolio composition, gearing, discounts and charges."
She points out that investors usually focus on the latest top performers but consistent long-term past performance is key when considering an investment.
Below is the list of most consistently performing trusts:
Rank | Company | AIC sector | Volatility of Return (the lower the score, the lower the volatility) | % share price return total over 10 years to 30 |
---|---|---|---|---|
1 | Lindsell Train | Global | 16.63 | 425.21 |
2 | F&C Global Smaller Companies | Global | 19.21 | 199.67 |
3 | Electra Private Equity | Private Equity | 32.74 | 259.70 |
4 | Perpetual Select UK Equity | UK All Companies | 18.64 | 183.26 |
5 | Perpetual Select Smaller Companies | UK Smaller Companies | 19.84 | 213.91 |
6 | Finsbury Growth & Income | UK Equity Income | 20.11 | 180.18 |
7 | Mid Wynd International | Global | 21.39 | 204.21 |
8 | Edinburgh Dragon | Asia Pacific - Excluding Japan | 22.27 | 170.24 |
9 | JP Morgan US Smaller Companies | North American Smaller Companies | 23.50 | 209.44 |
10 | Schroder Oiental Income | Asia Pacific - Excluding Japan | 24.14 | 209.78 |
11 | Jupiter European Opportunities | Europe | 27.05 | 222.91 |
12 | JP Morgan American | North America | 13.84 | 216.26 |
13 | Martin Currie Global Portfolio | Global | 15.95 | 144.90 |
14 | F&C Commercial Property | Property Direct - UK | 18.92 | 88.49 |
15 | JP Morgan Elect Managed Growth | Global | 17.27 | 106.07 |
16 | Threadneedle UK Select Trust | UK All Companies | 18.92 | 88.49 |
17 | Jupiter US Smaller Companies | North American Smaller Companies | 19.04 | 186.75 |
18 | Aberdeen Asian Income | Asia Pacific - Excluding Japan | 19.77 | 173.95 |
19 | Allianz Technology | Specialist: Tech Media & Telecomm | 21.84 | 313.41 |
20 | Witan Pacific | Asia Pacific - Including Japan | 22.90 | 122.06 |
This article was originally published in our sister magazine Money Observer. Click here to subscribe.
This article is for information and discussion purposes only and does not form a recommendation to invest or otherwise. The value of an investment may fall. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.
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