North America

Introduction to North America

North American funds focus on companies that are domiciled in the United States and Canada. These could be companies that generate the majority of their revenues domestically or those that have extensive revenues from outside North America. The US market is the largest and broadest in the world and therefore fund managers have a large selection of stocks and sectors from which to choose.

The benchmark indices are the S&P 500, the Dow Jones industrial average and the technology-focused Nasdaq. Among the major constituents of the S&P 500 are the technology giants of Apple and Microsoft, oil majors Exxon Mobil and Chevron, plus consumer goods groups Johnson & Johnson and Proctor & Gamble, but many fund managers prefer to focus on smaller or mid cap stocks.

The North American market is usually seen as more 'defensive' than other markets - it tends to hold its value even when times are tough. However, because it is large and liquid and there are a lot of market participants, it is also seen as extremely efficient. There don't tend to be as many mispricing opportunities for active managers to exploit. North America managers follow a variety of styles, some prioritising high growth companies, others preferring more 'value' names trading at cheaper prices.

The tax treatment of investments is subject to tax law and HMRC practice which are subject to change. The value of investments may be affected by exchange rate movements where the underlying investments are not denominated in Pounds Sterling.

Investment Trusts

Name1 Year (%)3 Years (%)5 Years (%)DiscountNAV
Blackrock North American Income Trust Plc ORD 1P9.4452.04--7.40164.14Buy
Canadian General Investments GBP27.5923.9462.40-30.081,809.27Buy
Gabelli Value Plus Trust PLC11.17---5.79132.42Buy
JP Morgan American IT plc15.5048.52108.82-4.61395.00Buy
JP Morgan US Smaller Companies IT PLC Ord 2.5P21.7071.43154.88-5.60273.30Buy
Jupiter US Smaller Companies PLC Ord 25P5.4922.0963.28-8.01877.27Buy
Middlefield Canadian Income Trust I17.598.4127.24-8.10113.98Buy
North Atlantic Smaller Companies IT4.7452.24140.45-19.923,270.04Buy
The North American Income Trust plc Ord 25p11.8950.8594.38-9.891,295.10Buy

ETFs

Name6 Months (%)1 Year (%)3 Years (%)5 Years (%)CurrencySector
BMO MSCI USA Income Leaders GBP Hedged5.1916.39--GBPEquity - USABuy
Boost NASDAQ 100 3x Leverage Daily ETP31.2784.50146.80-USDEquity - USABuy
Boost NASDAQ 100 3x Short Daily ETP-29.30-52.92-81.22-USDEquity - USABuy
Boost S&P 500 3x Leverage Daily ETP15.8258.2974.62-USDEquity - USABuy
Boost S&P 500 3x Short Daily ETP-17.59-43.17-69.27-USDEquity - USABuy
CFS DBX Trck S&P 500 Equal Weight DR 1C Acc GBP-4.5711.6751.36-GBXEquity - USABuy
DB X-Trackers MSCI USA Index UCITS ETF 1C GBP-2.8515.0057.91123.06GBPEquity - USABuy
DB X-Trackers MSCI USA Minimum Volatility UCITS ETF (DR) 1D USD6.17---USDEquity - USABuy
DB X-Trackers S&P 500 2x Inverse Daily UCITS ETF USD-11.43-30.66-51.92-78.95USDEquity - USABuy
DB X-Trackers S&P 500 2x Leveraged Daily UCITS ETF USD10.8937.7455.48201.12USDEquity - USABuy
DB X-Trackers S&P 500 Inverse Daily UCITS ETF GBP-13.66-19.14-14.13-42.88GBPEquity - USABuy
DB X-Trackers S&P 500 UCITS ETF 1C GBP-2.8115.2158.93124.47GBPEquity - USABuy
DB X-Trackers S&P 500 UCITS ETF (DR) 2C Hedged GBP5.2217.35--GBPEquity - USABuy
ETFS Russell 2000 US Small Cap GO UCITS ETF GBP-4.9413.8856.09112.02GBPEquity - Small Cap USABuy
First Trust US Equity Income UCITS ETF A Inc GBP-6.338.41--GBPEquity - USABuy
First Trust US Large Cap Core AlphaDEX UCITS ETF A Acc Nav GBP-3.5715.0151.58-GBPEquity - USABuy
FundLogic MS Scientific Beta US Equity Factors UCITS5.3415.37--USDEquity - USABuy
HSBC MSCI USA GBP-2.8714.2256.32119.02GBXEquity - USABuy
HSBC S&P 500 GBP-2.7415.3160.90120.37GBPEquity - USABuy
Lyxor UCITS ETF RUSSELL 2000 C USD4.3718.7131.0479.69USDEquity - Small Cap USABuy

Disclaimer

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