These five trounced investment trusts will bounce back

The indiscriminate carnage in the markets has left these five promising investment trusts in the bargain basement.

Pershing Square’s top-notch US large-caps include Chipotle © Alamy

Investment trusts have been caught in the crossfire of the market panic. Because they are easy to sell instantly, many investors have bailed out of even defensive versions of these funds, eager to pocket cash.

Take the infrastructure sector, a traditional safe haven. Here we have government-backed assets and stable cash flows that should survive any recession. Yet the four big core infrastructure funds have seen their share price fall by around a fifth over the last month, while the average renewable energy infrastructure fund has fallen by more than 19%.

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David C. Stevenson
Contributor

David Stevenson has been writing the Financial Times Adventurous Investor column for nearly 15 years and is also a regular columnist for Citywire. He writes his own widely read Adventurous Investor SubStack newsletter at davidstevenson.substack.com

David has also had a successful career as a media entrepreneur setting up the big European fintech news and event outfit www.altfi.com as well as www.etfstream.com in the asset management space. 

Before that, he was a founding partner in the Rocket Science Group, a successful corporate comms business. 

David has also written a number of books on investing, funds, ETFs, and stock picking and is currently a non-executive director on a number of stockmarket-listed funds including Gresham House Energy Storage and the Aurora Investment Trust. 

In what remains of his spare time he is a presiding justice on the Southampton magistrates bench.