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 Acc5.3617.9331.05311.660.88Buy
AXA Defensive Distribution Z Acc5.4217.1228.92311.660.88Buy
AXA Distribution Z Acc7.2520.9937.46848.682.29Buy
AXA Ethical Distribution Z Acc8.8327.1347.69229.761.53Buy
AXA Framlington Managed Income Z Gross Acc7.7224.1751.04436.134.75Buy
AXA Framlington Managed Income Z Acc7.6921.4044.30436.134.28Buy
CF Canlife Managed 0%-35% C Acc GBP---29.252.13Buy
CF Canlife UK Equity and Bond Income C Acc GBP9.1528.4453.3876.973.95Buy
Consistent Unit Trust Acc2.6713.7329.2511.534.17Buy
Elite Balanced B GBP12.4627.2650.4224.600.32Buy
Elite Balanced C Acc GBP11.9025.3745.1124.60-Buy
Elite Income B Acc GBP8.7820.0223.4436.362.01Buy
Elite Income C Acc GBP8.2418.2323.2336.362.01Buy
F&C UK Equity Linked Gilt 2 Acc15.6049.1989.54200.011.20Buy
F&C UK Equity Linked Gilt 3 Acc15.5749.3289.81200.011.20Buy
Fidelity Moneybuilder Balanced Y Acc4.9418.1142.06594.483.21Buy
HSBC Monthly Income C Acc8.5920.6541.95162.064.34Buy
Jupiter Distribution I Acc5.4118.0835.921,019.842.60Buy
Jupiter Merlin Income Portfolio I Acc9.0720.2433.602,862.523.00Buy
Jupiter Monthly Income I Acc11.0934.4864.84172.154.60Buy

OEICs and Unit Trusts

Name1 Year (%)3 Years (%)5 Years (%)Fund Size (M)Yield (%)
AXA Defensive Distribution Z Gr Inc5.3718.0231.09311.660.89Buy
AXA Defensive Distribution Z Inc5.3917.1128.81311.660.89Buy
AXA Distribution Z Inc7.3321.1337.48848.682.31Buy
AXA Ethical Distribution Z Inc8.7627.1147.56229.761.54Buy
AXA Framlington Managed Income Z Gross Inc7.6924.2551.13436.135.48Buy
AXA Framlington Managed Income Z Inc7.6821.3944.44436.134.48Buy
CF Canlife Managed 0%-35% C Inc GBP---29.252.21Buy
CF Canlife UK Equity and Bond Income C Inc GBP9.0028.2754.3476.974.09Buy
Consistent Unit Trust Inc2.6913.7929.3511.534.17Buy
Elite Income B Inc GBP8.7520.2334.4636.362.03Buy
Elite Income C Inc GBP8.2118.0728.1936.362.05Buy
F&C High Income C Inc4.088.499.4875.274.90Buy
F&C UK Equity Linked Gilt 2 Inc15.5048.8888.55200.011.10Buy
Fidelity Moneybuilder Balanced Y Inc4.9418.1042.04594.483.95Buy
HSBC Monthly Income C Inc8.5820.6641.96162.064.25Buy
Jupiter Distribution and Growth I Inc9.9927.4056.17475.974.00Buy
Jupiter Distribution I Inc5.4218.1236.001,019.842.60Buy
Jupiter Merlin Income Portfolio I Inc9.0820.2233.602,862.523.00Buy
Jupiter Monthly Income I Inc11.1534.6265.12172.154.70Buy
Kames Ethical Cautious Managed B Inc8.9020.5151.27581.001.96Buy

Investment Trusts

Name1 Year (%)3 Years (%)5 Years (%)DiscountNAV
Aberdeen Smaller Companies Income Trust PLC Ord 50p47.7073.10127.41-13.57329.74Buy
Acorn Income Ld Ord34.7582.85149.13-1.62474.55Buy
Acorn Income Ld RED ZDP 1P8.6217.3633.856.13142.52Buy
CQS New City High Yield Fund Limited Ord NPV12.7520.5333.016.3658.53Buy
City Merchants High Yield Trust Limited11.4627.9654.641.99195.00Buy
Henderson High Income Trust Ord9.8427.8373.49-2.91193.90Buy
JP Morgan Elect Managed Income Shs 0.001P13.8225.9065.98-2.45116.10Buy

VCTs

Name1 Year (%)3 Years (%)5 Years (%)NAVDiscountNDYSector
Puma Vct 10 PLC Ord GBP0.0005-0.45-2.51-85.34-2.747.23VCT GeneralistBuy

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