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 Acc12.8920.1231.07323.292.10Buy
AXA Defensive Distribution Z Acc12.4518.9328.16323.291.85Buy
AXA Distribution Z Acc14.9420.1237.52895.292.89Buy
AXA Ethical Distribution Z Acc13.8525.0650.67209.792.48Buy
Architas MA Passive Growth Z Acc28.7546.5861.9752.461.08Buy
Architas MA Passive Growth A Acc28.3745.1159.1952.460.93Buy
CF Canlife UK Equity and Bond Income C Acc GBP14.6825.1154.6596.533.86Buy
Consistent Unit Trust Acc13.2217.3541.7136.173.87Buy
Elite Balanced C Acc GBP15.9321.6641.8523.51-Buy
Elite Balanced B GBP16.5223.4946.5123.510.22Buy
Elite Income B Acc GBP12.2818.1224.4433.891.89Buy
Elite Income C Acc GBP11.7216.3824.6933.891.88Buy
F&C UK Equity Linked Gilt 2 Acc32.3960.1695.04166.981.10Buy
F&C UK Equity Linked Gilt 3 Acc32.4560.3295.67166.981.10Buy
FP Matterley Regular High Income C Acc7.3412.8528.3062.514.49Buy
Fidelity Moneybuilder Balanced Y Acc11.5324.9553.08620.253.17Buy
HSBC Monthly Income C Acc14.2118.0945.06171.883.88Buy
JPM UK Equity & Bond Income C Acc15.9323.0259.79153.463.34Buy
Jupiter Distribution I Acc8.4120.5541.26926.502.80Buy
Jupiter Merlin Income Portfolio I Acc13.1417.5536.043,166.442.90Buy

OEICs and Unit Trusts

Name1 Year (%)3 Years (%)5 Years (%)Fund Size (M)Yield (%)
AXA Defensive Distribution Z Gr Inc12.8620.1631.09323.292.12Buy
AXA Defensive Distribution Z Inc12.4218.8428.12323.291.86Buy
AXA Distribution Z Inc14.9120.0637.32895.292.94Buy
AXA Ethical Distribution Z Inc13.8625.0450.69209.792.53Buy
CF Canlife UK Equity and Bond Income C Inc GBP14.6825.5555.7896.533.98Buy
Cavendish UK Balanced Income B Inc16.4224.3572.1453.404.50Buy
Consistent Unit Trust Inc13.2517.4441.8036.173.87Buy
Elite Income B Inc GBP12.2818.3335.1433.891.93Buy
Elite Income C Inc GBP10.9015.3928.7533.891.89Buy
F&C High Income C Inc5.784.976.6982.784.90Buy
F&C UK Equity Linked Gilt 2 Inc32.3659.6593.77166.981.00Buy
FP Matterley Regular High Income C Inc7.3312.9829.9662.514.49Buy
Fidelity Moneybuilder Balanced Y Inc11.5324.9353.06620.253.78Buy
HSBC Monthly Income C Inc14.2018.1545.18171.883.89Buy
JPM UK Equity & Bond Income C Inc15.2122.3258.90153.463.44Buy
Jupiter Distribution and Growth I Inc13.2724.1157.31505.333.70Buy
Jupiter Distribution I Inc8.4520.6241.31926.502.80Buy
Jupiter Merlin Income Portfolio I Inc13.1417.5536.013,166.442.90Buy
Jupiter Monthly Income I Inc19.9832.0869.73139.584.40Buy
Kames Ethical Cautious Managed B Inc6.1216.5753.31580.001.97Buy

Investment Trusts

Name1 Year (%)3 Years (%)5 Years (%)DiscountNAV
Aberdeen Smaller Companies Income Trust PLC Ord 50p15.876.67110.39-22.77277.74Buy
Acorn Income Ld Ord7.3720.50150.46-11.23437.09Buy
Acorn Income Ld RED ZDP 1P7.8218.8934.034.41138.64Buy
City Merchants High Yield Trust Limited14.8821.6758.57-0.29192.05Buy
Crystal Amber54.0257.50167.97-0.22231.52Buy
Henderson High Income Trust Ord15.6727.5985.611.67188.10Buy
JP Morgan Elect Managed Income15.1122.7167.058.04102.05Buy

VCTs

Name1 Year (%)3 Years (%)5 Years (%)NAVDiscountNDYSector
Hargreave Hale AIM VCT 214.498.2559.28--5.71VCT AIM QuotedBuy
Hargreave Hale AIM VCT 1 Ord 1P16.006.5373.98--5.41VCT AIM QuotedBuy
Puma Vct 10 PLC Ord GBP0.0005-0.45----7.23VCT Generalist Pre QualifyingBuy

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