New Woodford Fund

InvestInPoker

bowlhead99 wrote: »

We know he's held unquoted companies before .

Yep and this is precisely why I am putting my UK smaller companies allocation with him in this. I rarely use active funds, although I do have a couple they have to fit the following criteria for me

1 - I need to be convinced said manager can out perform index funds in the relevant area over time, and that the out performance is not due to luck. I think this is clearly true for Woodfords flagship Equity Income fund, 25 years of doing the same thing at IPHI makes it incredibly unlikely it was just luck

2 - I need to be convinced said manager is in for the long haul and wont vanish somewhere else to do another thing after a few years. From everything I have read I am convinced NW is in for the long haul (it is his own house now after all) and we wont be left hanging in 8 years time.

3 - I need to be convinced the fund/manager is not going to change his approach to trying something new where point 1 wont apply anymore - like Anthony Bolton. This is a bit difficult here. It's a little different from having massive holdings in drug and cigarette companies. Like bowlhead said we know he has used exposure, albeit on a small scale, to this type of thing for his flagship funds before for a long time. That is enough to convince me.

One thing I found interesting whilst reading the prospectus was that the start up investments will not happen immediately. It appears our money will be invested in large established companies to start with and then gradually moved over to start ups as opportunity arises. I like this as it implies proper consideration and time will be spent choosing when and where to deploy the investment in start ups. It also means our money wont be lying around as cash for a few years which would be a huge waste. I dont know what we can expect for the first while whilst that is going on, probably something close to his flagship fund?

Anyway I am in for a 30 year timeframe. I would like to place this in an ISA wrapper but my allocation for this year is used. I am unsure if I can apply now and then wait for the new tax year to start or if I have to wait for the new tax year to apply? Probably a question for my platform that one.

EDIT :

dealing with idiot customers in real life is frustrating

lol

berbatov10

Sorry Bowlhead that was £2-3k OF next years ISA allowance. I know what you mean about people lol

bowlhead99

InvestInPoker wrote: »

It appears our money will be invested in large established companies to start with and then gradually moved over to start ups as opportunity arises

Yes, the only way to kick off a fund that intends to invest a restricted pipeline of deals and not have a load of redundant cash dragging down the overall IRR, is to seed it with something.

It seems that even once they are "fully invested" there will be a decent component (25%ish) of large listed investments which will act as a liquidity pool earning market returns, to avoid cash drag or liquidity problems while trading in and out of the smaller positions.

Presumably they will be similar investments to what he likes in his other fund - although it doesn't say this component will have an income strategy, while that's what his main fund is trying to hold. A further advantage of holding similar assets is then the two funds can buy or sell from each other as the main fund has subscriptions and redemptions, without needing to go out to the market in all cases. Although internal transactions can give conflicts of interest, it could be useful.

I am unsure if I can apply now and then wait for the new tax year to start or if I have to wait for the new tax year to apply? Probably a question for my platform that one.

With IPOs generally the platforms earmark your cash ASAP and you need to prove the money is available, but feasibly some would let you put the order in and just have the commitment to get the money to them on time via contributions or sale of holdings. Sometimes it differs between trading accounts which can trade on margin vs ISAs which cannot. So you're right, ask the platform.

From the posts above, different platforms have announced different deadline days but they are all after 5 April so wouldn't seem to be a problem just loading up your ISA on 6 April and applying then.

Just to add another platform to the list (people already mentioned HL, CSD, ii) - TD Direct Investing have said morning of 13 April. The offer period is already open so you can stick an order in now (if you have sufficient funds in an account with them) and modify it later up to the deadline.

noggin1980

can anyone get the special report on charles stanley that is meant to explain how we can buy through them? for me the link just goes to the prospectus despite being a different url than the one that links to the prospectus. Thanks

TCA

noggin1980 wrote: »

can anyone get the special report on charles stanley that is meant to explain how we can buy through them? for me the link just goes to the prospectus despite being a different url than the one that links to the prospectus. Thanks

This is their report:

https://www.charles-stanley-direct.co.uk/News_Features_Research/Woodford_Patient_Capital_Trust_Special_Report

And this is a pdf including info about how to apply:

https://www.charles-stanley-direct.co.uk/content/cms/images/news_15977_9.pdf

noggin1980

TCA wrote: »

This is their report:

https://www.charles-stanley-direct.co.uk/News_Features_Research/Woodford_Patient_Capital_Trust_Special_Report

And this is a pdf including info about how to apply:

https://www.charles-stanley-direct.co.uk/content/cms/images/news_15977_9.pdf

Thanks for your help but that isn't the report. That pdf links to the prospectus and while it does have info on how to apply thats if you want to apply directly.

The article you linked too is meant to contain a link to the report but at the moment (for me at least) I get the same document when I click on the report link or the prospectus link despite the 2 of them having different URLS.

That article this morning was word for word the same except it contained a line saying we are currently preparing a report on how to apply through Charles Stanley and in an isa wrapper, they updated the article to say Our new report sets out the key details of the Trust, provides our view and explains how you can apply through your Charles Stanley Direct Investment Account, ISA or SIPP – to download please click here.

but that link is to the prospectus.

InvestInPoker

New startups in the UK - funded by MSE's saving and investments forum.

bowlhead99

noggin1980 wrote: »

Thanks for your help but that isn't the report. That pdf links to the prospectus and while it does have info on how to apply thats if you want to apply directly.

I just went to the website and the Special Report webpage (TCA's first link) has some blurb with a link to TCA's second link - the one ending 15977_9.pdf That pdf document is titled 'the Woodford Report', it's a 4 page pdf.

As you go through it on page 4 there is a sidebox 'what to do next' with two links, one says read the prospectus (goes to prospectus) and one says how to apply (internal link to page 3 of the very same document you are reading where there's a sidebox 'how do i apply')

How do I apply?

Please read the prospectus fully
prior to making your decision and
proceeding. Once logged in to your
account, please send us a secure
message stating:

Woodford Patient Capital
Investment Trust

Which account you want to
invest in - your ISA, SIPP or
Investment Account and the
appropriate account number

How much you would like to
invest, in full pounds - the
minimum investment is
£1,000 or any sum above.

[send a secure message]

-
This is a higher risk investment
and bought with a view to holding it
for the long term.

I'm not going to be buying via Charles Stanley but am seriously bored on a train journey!

noggin1980

Thanks, the link ending in 9 takes me to the prospectus not a 4 page report, I can only assume they made a mistake initially, changed it and now I have to wait for a cache to update or something.

Thanks for posting how to apply too :-)

Edit - Just cleared my browsing data, that fixed it :-)

TCA

Having had a better read of the prospectus, I'm convinced enough to invest. Annoyingly it doesn't look like either of my platforms (Bestinvest and iWeb) are participating in the IPO, which means I either wait until afterwards or open next year's ISA with HL or the likes. An old ISA with Fidelity is still allowing me online access despite the fact there's been nothing it for 5 years, so that might be an option for the IPO, then maybe transfer it. Looks like it could be held free of charge:

https://www.fidelity.co.uk/investor/neil-woodford-patient-capital-trust.page