From global equities to specialist markets: eight investment trusts to explore

Diversification is fundamental to investment - and with nervousness once more lingering around AI valuations, reviewing portfolios for their risk concentration in the tech sector could be sensible.

Yet regardless of the reason behind any investment review, it is always good practice to ensure that a portfolio is still performing its original objective. An investment journey that began 20 years ago with long-term growth in mind (and an adventurous attitude towards risk) might not be aligned with the investor’s objectives any longer. Similarly, an investor who sought mostly a steady income might ask if this income could be steadier by switching investment provider or vehicle. Or maybe an interesting investment theme has taken root in the investor’s mind and a little exposure is felt desirable.

Columbia Threadneedle manages eight investment trusts that can aid investors in different ways to fulfil common investment objectives, including global diversification, access to specialist investment themes, and investing for growth and income. The trust range is headed by the flagship F&C Investment Trust. Let’s take a look at this and consider each of the remaining trusts individually.

Global investing across large and small companies

F&C Investment Trust’s objective is to secure long-term growth in capital and income through a policy of investing primarily in publicly listed equities. However, F&C can also hold unlisted securities and private equity.

As well as investing in established companies, the trust also seeks strong newcomers and rising stars in developing markets.

A distinguishing feature is that not only is F&C Investment Trust one of the largest investment trusts in its sector with £7.5 billion of assets under management (at 30 September, 2026) but its launch in 1868 means the trust is the world’s longest-running collective investment scheme too.

The Global Smaller Companies Trust is another Columbia Threadneedle vehicle that ranks as one of the largest in its sector. This trust again invests globally and taps into what the trust describes as the “greater inherent growth potential in smaller companies”. As of 30 September, 2026, the trust had assets of £852 million and – at the same reporting date - the trust’s dividend had risen in each of the last 56 years, although this is no guarantee of future increases.

A third vehicle is the CT Global Managed Portfolio Trust. A ‘fund-of-funds’ - meaning it invests in the equity vehicles of other investment managers - this trust is essentially a highly diversified one-stop shop for growth and income investors. Income shares aim to grow income and gain some capital appreciation, while the growth share class focuses exclusively on growth. Investors can once a year switch between share classes without incurring UK capital gains tax*.

UK and European investment trusts

Two of Columbia Threadneedle’s investment trusts target UK and/or European companies.

With assets of £381m (at 30 September, 2026), CT Progressive Income aims to generate long-term capital and income growth mainly from FTSE All-Share companies. Although, again, there is no guarantee that dividends will continue to increase, in 2025 this trust was recognised by the Association of Investment Companies as an “AIC Dividend Hero”, having increased its dividend every year since launch in 1992. In fact, the board is committed to increasing the total dividend per share each year, targeting growth above the rate of inflation, although there is no guarantee.

CT UK High Income Trust predominantly invests in UK equities across the market-cap spectrum, aiming to provide an attractive return to shareholders each year in the form of dividends and/or capital returns, together with prospects for capital growth. An ordinary share class pays dividends, while “B shares” pays a cash distribution by way of capital returns and is therefore taxed under capital gains tax rules which can provide tax benefits to certain types of investors.

Easy access to private equity

Private equity has gained increasing attention in recent years for its diversification benefits. Columbia Threadneedle offers the CT Private Equity Trust, which manages £621m (at 30 June, 2026). This trust gives access to an historically difficult-to-access asset class for the price of a single share. Many ‘traditional’ investors view private equity as a diversifier within a broader equity portfolio.

Joining private equity in Columbia Threadneedle’s ‘alternatives’ suite are the TR Property Investment Trust and the CT Healthcare Trust.

TR Property Investment Trust is a FTSE 250-listed investment trust, currently managing £876m of assets invested across a diverse portfolio of UK and European commercial property markets, including via equities in property companies, real estate investment trusts, and directly held property. The trust is for investors who seek capital growth and dividends.

The CT Healthcare Trust invests mainly in biotech and pharmaceutical companies in various geographies, and it aims to capture the absolute returns of healthcare innovation and trends. The £55.5m portfolio (at 30 September, 2026) extends also to healthcare information technology and healthcare providers.

Different trusts, different roles

The breadth of Columbia Threadneedle’s investment trusts - which are all listed on the London Stock Exchange - brings the discussion back to the purpose of a portfolio review. Broad global exposure, UK equity income and specialist investments address different objectives. The eight trusts are not a ready-made portfolio, nor does diversification mean holding them all: the question is what role, if any, an individual trust might play alongside investments already held.

That assessment starts with the investor’s objectives, time horizon and attitude to risk. A trust’s investment objective describes what it seeks to achieve, not a promised outcome; dividend histories and longevity do not guarantee future returns. Further research should examine the investment approach and underlying holdings, alongside charges, borrowing and how the share price compares with the value of the trust’s assets. Shares traded on an exchange can still fall in value, and investors may get back less than they invest.

Columbia Threadneedle publishes ample literature and regulatory disclosures associated with the eight investment trusts, enabling investors to compare objectives, portfolios and risk levels. The aim is not to select a trust simply because it offers something different, but to understand how that difference relates to the investor’s own plans.

For more information about Columbia Threadneedle’s investment trusts, see: www.columbiathreadneedle.com/investment-trusts

*Tax treatment depends on individual circumstances and may be subject to change in future.

Capital at risk. The value of your investments can go down as well as up. The mention of any bonds or securities is not a recommendation to deal. Please see the Key Information Documents (KIDs) for further details on the risks for each trust.

Issued by Columbia Threadneedle Management Limited, No. 517895, registered in England and Wales and authorised and regulated in the UK by the Financial Conduct Authority. Approved as at October 2026.