Growth and income from a top-performing fund

Finding a fund with a solid long-term record can often be difficult, given the vagaries of the markets. However, this is where this fund stands out.

Thanks to an impressive performance over the past three years, the fund is one of the top ten best performing Investment Management Association UK All-Companies funds, says Leonora Walters in the Investors Chronicle. What’s more, it has delivered over five years too, placing it in the top quartile of its sector over that period.

All in all, it has consistently outperformed its benchmark index over one year, three years and five years, delivering a respective return of 34%, 82.9% and 203.8%. The annual management fee is 1.5%.The fund’s aim is to achieve long-term capital growth and a “reasonable” amount of income by investing in UK-listed stocks.

Andrew Jackson, manager of Ecclesiastical UK Equity Growth, says the secret to his recent success has been keeping up a “pretty optimistic stance through wobbles” such as the 2011 euro crisis and concerns over the US Federal Reserve’s tapering of its bond-buying programme.

Ecclesiastical UK Equity Growth share price chartA core holding of blue chips, such as GlaxoSmithKline and British American Tobacco, has also paid off, says Money Observer, as has a focus on quality, out-of-favour small-caps. Jackson tells Walters he looks for stocks that could see a re-rating due to new management or cyclicality.

One stock that has performed well is Howden Joinery. Around 26% of the portfolio is in industrial stocks, with 20% in consumer services and 15% in financials. Jackson thinks 2014 will be a tougher year, but that there are still opportunities to find quality bargains.

Contact: 0870-870 8056.

Ecclesiastical UK Equity Growth top holdings
Name of Holding % of assets
Rio Tinto 2.53%
GKN 2.39%
WANdisco 2.23%
Howden Joinery 2.13%
Ashtead Group 2.08%
International Consolidated 2.00%
Next 2.00%
Vodafone 1.99%
ITV 1.98%
Prudential 1.98%

 

Merryn

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