As a father to six children, Adrian Frost, 51, never knows what he's doing from one weekend to the next. "But I wouldn't have the audacity to naff off for eight hours on a Saturday." As such, says the manager of Artemis Income Fund, "I'm bad at golf".
Luckily, he's much better at picking stocks his fund yields 6.2% and is down a respectable 23.1% against a 30.9% drop for the FTSE All-Share over 12 months. But before income and equity funds can rebound, he reckons the corporate bond market has to recover. And that could happen sooner than you think.
Frost cites last week's four big corporate bond issues from Centrica, BASF, BT and Vodafone. "The bad news is that they were all trading at 400 basis points above gilts." However, "they were all substantially oversubscribed. There is money out there." At the moment it's stuffed "under mattresses and cat bowls". But once investors realise they are getting poor returns from ultra-safe assets, he thinks they'll start climbing back into the market.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Contact: 0800-092 2051
Artemis Income Fund top ten holdings
| Name of holding | % of assets |
| Royal Dutch Shell B Ord | 6.10 |
| BP | 5.70 |
| GlaxoSmithKline | 5.40 |
| AstraZeneca Plc | 5.00 |
| Vodafone Group | 4.90 |
| Centrica | 4.20 |
| RWE AG (NEU) | 3.90 |
| National Grid | 3.70 |
| Koninklijke Kpn NV | 3.20 |
| HSBC Holdings | 3.20 |
-
What happens if you can’t pay your tax bill, and what is "Time to Pay"?Millions are due to file their tax return this Friday as the self-assessment deadline closes. Though the nightmare is not over until you pay the taxman what you owe - or face a penalty. But what happens if you can't afford to pay HMRC your tax bill, and what is "Time to Pay"?
-
What does Rachel Reeves’s plan for growth mean for UK investors?Rachel Reeves says she is going “further and faster” to kickstart the UK economy, but investors are unlikely to be persuaded
