Defensive funds

koru

I would agree with Trojan, Ruffer, Miton, especially Trojan. What impresses me is that it lost hardly anything during the crash of 2007-2008 but when the markets recovered it managed to match most of the gains. So, although Trojan explicitly says that it is likely to underperform in a strongly rising market, the underperformance is very little. Perhaps this is just luck, but...

Also, it does not have a performance fee.

moneylover

koru wrote: »

I would agree with Trojan, Ruffer, Miton, especially Trojan. What impresses me is that it lost hardly anything during the crash of 2007-2008 but when the markets recovered it managed to match most of the gains. So, although Trojan explicitly says that it is likely to underperform in a strongly rising market, the underperformance is very little. Perhaps this is just luck, but...

Also, it does not have a performance fee.

so, overall, over a period of a few years, with growth and income, do these defensive investments tend to do better than if you seek out the better bank accounts eg I put some money in the Close Brothers fixed rate 2 year account last week at 4.25% - of course I have got to pay 20% tax on the income and no capital growth

Ark_Welder

dunstonh wrote: »

Both the I and O are available via platforms (without the £250k min and 5% charge). it is only direct investments that are soft closed.

...and it shows! Trustnet: Trojan fund swells in spite of soft closure

moneylover wrote: »

ATS?

Alliance Trust Savings

moneylover wrote: »

so, overall, over a period of a few years, with growth and income, do these defensive investments tend to do better than if you seek out the better bank accounts

One would hope that this would be the case. However, some appear to be more successful at it than others. But do remember that these funds are not direct substitutes for cash holdings, they are a potential means of matching asset allocation to risk profile.

moneylover

got to put £250000 in if a new investor???

dunstonh

moneylover wrote: »

got to put £250000 in if a new investor???

as mentioned higher up, only if you go direct. Not if you buy via a platform.

moneylover

thats good, thanks Dunston. if I had £250,000 I would be coming to you for investment advice anyway not putting it in Troy! Thanks for all your very useful postings.

competitionscafe

Article and interview with Robin Angus, the executive director of the Personal Assets Trust (PAT) here:

http://www.moneyweek.com/blog/gold-an-abnormal-holding-for-abnormal-times-56423

http://www.moneyweek.com/news-and-charts/merryn-somerset-webb-interviews-robin-angus-50938

Totton

Note that Troy charge a 0.5% distribution levy on all buys and sells, still worth it imho.

Regards,
Mickey

dunstonh

Totton wrote: »

Note that Troy charge a 0.5% distribution levy on all buys and sells, still worth it imho.

Regards,
Mickey

Good for those that are already in the fund and stay in it. The 0.5% dilution levy is paid directly into the fund and is reflected in the unit price.