What really bugged me last year was the lack of, or minimal, holdings in mineral resources and oil. It doesn't take a genius to figure out that with the fall in the oil price oilies would be cutting back on costs - I mean, they announced it loud and clear, as well - and that with S.A. needing to get the ARAMCO float away, every effort was going to be made to cut production and stocks, plus S.A., amongst others, needed a higher oil price, anyway.
Ditto with mineral resources and cost cutting.
It's no good the manager saying, 'yes, but, we feel that the miners SPs will fall back'. You missed the boat.
"Income-seekers who want some reassurance that dividends paid by investment trusts can grow â or at least be maintained â can get some valuable information from assessing the dividend growth statistics on the following pages.These statistics, ..."
Made much the same comment myself, Nick, but the site went ti ts up, temporarily, as I pressed "submit".
It was certainly a pretty heavy week, last week, but I wouldn't sell on AZN and BP. Baccy is a different proposition: well they might continue puffing away in the Far East and places, but if the trend is to enforce reducing the nicotine, and therefore the addictive aspect of baccy, it might catch on world-wide. Thing is, as you mention, PLI is very heavily into baccy and that's a concern. Does one wait for developments, or sell/lighten? Personally, I sold half mine Friday PM.
Sold out completely today. Made modest gains over last year or so.
Tobacco under attack quite rightly. BP oil price concerns. AZN diving. Provident in trouble. BT Italy problems. Not a portfolio I would select myself.
As a guide to the influence of the biotech style new holdings, BIOG and WWH have both suffered this year but are now picking up, partly due to currency movements - perhaps providing a (vain) hope that PLI will recoup its losses too? I have already halved the cash allocated to PLI and moved it to FGT and EDIN as despite their lower dividends, their SP growth performance is certainly better.
As I also own EDIN shares let's hope Mark Barnett keeps his experimentation to PLI!
I have noticed this too, probably happened when Woodford left and Mark Barnett eventually had a reshuffle of the shares, he left Edinburgh unshuffled and they have performed a lot better, only down a couple of percent as against over 8 percent down over the past 12 months for Perpetual I & G. He has gone for a lot of the biotech type aim shares which probably have not performed so well. City of London have performed better too. Do not think there is an easy answer. I shall move some out myself. Hopefully they will even out over the long term, shame though as they were so consistently good in the past. Will check the Annual reports for any clues.
I've invested in PLI for 7 years and seen it beat the FTSE 100 and 250 regularly. Add in its good and rising dividends, this has been a core holding.
This year it has lost ground and continues to do so. Looking at the underlying holdings I can't see a strong reason for underperformance and will hold until the year end expecting 'normal service' to be resumed.
Can anyone throw light (and hope) on the recent performance?
"With interest rates likely to start rising both here and in the US within the next year, and Nick Louth deciding to stand down from the active income portfolio to pursue a career as a novelist, this is an opportune time for a general review of ..."
"On 15 October, Invesco Perpetual announced that Neil Woodford will leave the company on 29 April 2014 with fund responsibilities transitioning to Mark Barnett and the Invesco Perpetual UK Equity team.Barnett will become lead manager for the ..."
Important message from the Financial Conduct Authority:
Posting inside information that is not public knowledge, or information that is false or misleading, may constitute market abuse.
This could lead to an unlimited fine and up to seven years in prison.
If you have any information, concerns or queries about market abuse, click here.
The content of the messages posted represents the opinions of the author, and does not represent the opinions of Interactive Investor Trading Limited or its affiliates and has not been approved or issued by Interactive Investor Trading Limited.
You should be aware that the other participants of the above discussion group are strangers to you and may make statements which may be misleading, deceptive or wrong.
Please remember that the value of investments or income from them may go down as well as up and that the past performance of an investment is not a guide to its performance in the future.
The discussion boards on this site are intended to be an information sharing forum and is not intended to address your particular requirements.
Whilst information provided on them can help with your investment research you need to consider carefully whether you should make (or refraining from making) investment or other decisions based on what you see without doing further research on investments you are interested in.
Participating in this forum cannot be a substitute for obtaining advice from an appropriate expert independent adviser who takes into account your circumstances and specific investment needs in selected investments that are appropriate for you.