Neil Woodford exits BAT, buys more Lloyds Bank
14th July 2017 16:26
by Neal Underwood from interactive investor
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Fund manager Neil Woodford of Woodford Investment Management made a number of key buys and sells within his three portfolios during the month of June.
The big news is that within
and he has sold his position in , which has been in both funds since their inception and, indeed, a part of his mandates for most of his career.Woodford believes the sector is now starting to look fully valued. His team points out that at the peak of the dotcom bubble in March 2000, you could have bought BAT for only 225 per share. Woodford just sold his at over £50 per share.
He retains some tobacco exposure through
, which he believes is still undervalued, although "the valuation opportunity elsewhere in the sector has largely played out".At the same time in the Equity Income fund he has added to domestically-focused stocks such as
, , and , reflecting a more positive view on the UK economy.Woodford's also increased the position in sub-prime lender brutal profits warning last month.
, which continues to fall following aMeanwhile, he introduced two new holdings in the shape of
, a well-fancied unsecured loan provider, and early-stage tech firm Drayson Technologies.Within Income Focus, Woodford added a new position in housebuilder
, where management has been investing in the company's future growth and cash returns to shareholders have been modest compared to other housebuilders.He also increased the allocation to the likes of Provident Financial,
, , , Lloyds, , and .In
Woodford added Drayson Technologies, as mentioned above, as well as Accelerated Digital Ventures, which invests in a portfolio of early-stage digital businesses. In addition, he added to his positions in , Thin Film Electronics, Idex, Theravance Biopharma and . No disposals were made.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.