UK Mixed Asset

Introduction to UK Mixed Asset 

A portfolio that holds a number of different asset classes should provide investors with a smoother, more predictable return over time. Managers of UK mixed asset portfolios will hold a blend of sterling-based equities, bonds, property, cash and alternatives, aiming to tilt the portfolio to those assets they believe are most likely to do well. However, they will always keep a balance in the portfolio to ensure diversification.

Once the asset allocation decision has been made, investment managers implement their views either by investing directly in the stock, bond or property markets, or by investing in other funds. Some managers only invest in their own in-house funds, others will use external funds and exchange traded products.

Mixed asset funds should provide a consistent year in, year out return, with few surprises. Investors would not expect to experience the volatility of, say, the stock market when investing in this type of fund. Mixed asset managers argue that delivering a return consistently, rather than shooting the lights out one year and then sliding the next, is important for compound growth over the long-term. Investors will often use mixed asset funds for one-stop-shop exposure to a broad range of asset classes.

The tax treatment of investments is subject to tax law and HMRC practice which are subject to change.

OEICs and Unit Trusts

Name1 Year (%)3 Years (%)5 Years (%)Fund Size (M)Yield (%)
AXA Defensive Distribution Z Gr Acc13.9420.7037.92333.541.71Buy
AXA Defensive Distribution Z Acc13.3519.2134.53333.541.61Buy
AXA Distribution Z Acc14.0719.3244.88935.022.49Buy
AXA Ethical Distribution Z Acc9.3620.2957.11203.762.40Buy
Architas MA Passive Growth Z Acc23.4629.0161.4243.301.58Buy
Architas MA Passive Growth A Acc22.9927.4658.7743.301.29Buy
CF Canlife UK Equity and Bond Income C Acc GBP12.1825.7359.66110.61-Buy
Consistent Unit Trust Acc10.5416.6848.3637.033.91Buy
Elite Balanced B GBP11.4420.8653.8722.330.24Buy
Elite Balanced C Acc GBP10.8919.6049.3522.33-Buy
Elite Income B Acc GBP7.5613.2131.3635.561.97Buy
Elite Income C Acc GBP7.0313.7031.9335.561.95Buy
F&C UK Equity Linked Gilt 2 Acc38.8061.00121.34182.561.10Buy
F&C UK Equity Linked Gilt 3 Acc38.8361.24122.17182.561.10Buy
FP Matterley Regular High Income C Acc6.4113.8633.4264.034.51Buy
Fidelity Moneybuilder Balanced Y Acc12.7828.7360.65613.44-Buy
HSBC Monthly Income C Acc12.3419.1453.28175.644.20Buy
JPM UK Equity & Bond Income C Acc11.4223.2563.80151.973.34Buy
Jupiter Distribution I Acc9.1221.4447.03833.802.50Buy
Jupiter Merlin Income Portfolio I Acc9.6815.8041.743,642.743.10Buy

OEICs and Unit Trusts

Name1 Year (%)3 Years (%)5 Years (%)Fund Size (M)Yield (%)
AXA Defensive Distribution Z Gr Inc13.9820.7437.96333.541.72Buy
AXA Defensive Distribution Z Inc13.3819.1834.43333.541.63Buy
AXA Distribution Z Inc14.0919.2744.70935.022.51Buy
AXA Ethical Distribution Z Inc9.3920.3057.17203.762.45Buy
CF Canlife UK Equity and Bond Income C Inc GBP12.1926.3660.84110.61-Buy
Cavendish UK Balanced Income B Inc10.8124.3278.9845.934.30Buy
Consistent Unit Trust Inc10.5416.7348.4037.033.91Buy
Elite Income B Inc GBP7.5617.0242.1635.561.99Buy
Elite Income C Inc GBP7.0214.9637.2335.561.97Buy
F&C High Income C Inc4.040.524.7684.974.90Buy
F&C UK Equity Linked Gilt 2 Inc38.6260.41118.80182.561.10Buy
FP Matterley Regular High Income C Inc6.4113.9335.1964.034.51Buy
Fidelity Moneybuilder Balanced Y Inc12.7628.7060.61613.443.75Buy
HSBC Monthly Income C Inc12.4019.1553.45175.644.24Buy
JPM UK Equity & Bond Income C Inc11.4023.2163.86151.973.44Buy
Jupiter Distribution I Inc9.1521.5147.06833.802.50Buy
Jupiter High Income I Inc10.6724.7564.83508.113.80Buy
Jupiter Merlin Income Portfolio I Inc9.6715.8141.733,642.743.10Buy
Jupiter Monthly Income I Inc14.0127.1474.08119.514.60Buy
Kames Ethical Cautious Managed B Inc7.2525.0166.18586.001.98Buy

Investment Trusts

Name1 Year (%)3 Years (%)5 Years (%)DiscountNAV
Aberdeen Smaller Companies Income Trust PLC Ord 50p-2.975.95123.94-21.10259.18Buy
Acorn Income Ltd Ord4.1919.21188.38-7.34392.85Buy
Acorn Income Ltd ZDP 1P4.0915.16---Buy
City Merchants High Yield Trust Limited11.8034.4565.012.24187.80Buy
Crystal Amber18.8845.24142.020.81189.96Buy
Henderson High Income Trust Ord12.0428.10104.592.73179.60Buy
JP Morgan Elect Managed Income7.1721.2272.42-3.26104.92Buy

VCTs

Name1 Year (%)3 Years (%)5 Years (%)NAVDiscountNDYSector
Hargreave Hale AIM VCT 23.4723.2553.01103.13-4.496.09VCT AIM QuotedBuy
Hargreave Hale AIM VCT 1 Ord 1P2.7625.9174.2374.42-5.265.67VCT AIM QuotedBuy
Iona Environmental VCT Ord 0.1P0.89-29.92-45.3467.00-25.37-VCT Specialist EnvironmentalBuy
Iona Environmental VCT A---1.40260.71-VCT Specialist EnvironmentalBuy
Iona Environmental VCT B 0.1P4.62-1.19-88.90-13.39-VCT Specialist EnvironmentalBuy
Puma Vct 10 PLC Ord GBP0.0005---90.74-1.926.74VCT Generalist Pre QualifyingBuy

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