Three investment trusts to avoid

Max King reveals why he is sceptical of these three widely held investment trusts – and tips others to consider instead.

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Elephants don't gallop
(Image credit: Credit: Blend Images / Alamy Stock Photo)

Most of the commentators in this issue have focused on trusts they like. I'm going to write about three widely held ones of which I'm sceptical. First, there's Alliance Trust, which has been struggling for decades to perform and narrow the discount of its shares to net asset value (NAV) see below.

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Max King
Investment Writer

Max has an Economics degree from the University of Cambridge and is a chartered accountant. He worked at Investec Asset Management for 12 years, managing multi-asset funds investing in internally and externally managed funds, including investment trusts. This included a fund of investment trusts which grew to £120m+. Max has managed ten investment trusts (winning many awards) and sat on the boards of three trusts – two directorships are still active.

After 39 years in financial services, including 30 as a professional fund manager, Max took semi-retirement in 2017. Max has been a MoneyWeek columnist since 2016 writing about investment funds and more generally on markets online, plus occasional opinion pieces. He also writes for the Investment Trust Handbook each year and has contributed to The Daily Telegraph and other publications. See here for details of current investments held by Max.