Wealth Preservation Funds - Do you use them? Current Views?

aroominyork

It's been said many times on the forum but worth repeating that RIT/RCP is not a WP fund in the way that CGT and PNL are - it is much, much more volatile. The Quitler piece in the Telegraph explains that 45% of assets are now in unquoted stocks. A true WP fund would never take such punts and be trading at a 20% discount to NAV. Of course it's not the first time a fund has invested in unquoted companies rather than sticking to its stated purpose... eight letters beginning with W, anyone?

ChilliBob

45% unlisted, basically a PE hybrid Trust then!

hallmark

Actually down 9% now.

Alistair31

aroominyork said:

It's been said many times on the forum but worth repeating that RIT/RCP is not a WP fund in the way that CGT and PNL are - it is much, much more volatile. The Quitler piece in the Telegraph explains that 45% of assets are now in unquoted stocks. A true WP fund would never take such punts and be trading at a 20% discount to NAV. Of course it's not the first time a fund has invested in unquoted companies rather than sticking to its stated purpose... eight letters beginning with W, anyone?

But how many investors just read the ‘WP title on the RIT website, look at the returns over a period and fire their money in without knowing what they are actually buying. A 9% decline will be a big shock for many holders I expect.

masonic

Buy in Mar 2021 at £23.35, sell today at £19.94. Where would we be without share tipping articles?

Albermarle

As mentioned the discount to NAV has been swinging about pretty wildly. Most IT's do not do this, and especially not PNL, CGT etc 
IN early October it was 21 %, a month later it was 2%, and another month later it was 18%, and now another month later it is 11 %

hallmark

masonic said:

Buy in Mar 2021 at £23.35, sell today at £19.94. Where would we be without share tipping articles?

And this article is especially iffy as it's essentially saying "we have no idea what's in this fund, what if it's really really bad? Sell!!"

I bet all the Telegraph readers who bought in on the same column's advice are chuffed.

talexuser

I'd actually be impressed if he had told us to sell last week, rather than on the day the fall happens. I'm not online at 6 a.m.

Wait a few more years to see if it makes any appreciable difference one way or the other.

tigerspill

aroominyork said:

It's been said many times on the forum but worth repeating that RIT/RCP is not a WP fund in the way that CGT and PNL are - it is much, much more volatile. The Quitler piece in the Telegraph explains that 45% of assets are now in unquoted stocks. A true WP fund would never take such punts and be trading at a 20% discount to NAV. Of course it's not the first time a fund has invested in unquoted companies rather than sticking to its stated purpose... eight letters beginning with W, anyone?

Thanks.
How do you find out the same information for CGT and PNL?

Albermarle

tigerspill said:

aroominyork said:

It's been said many times on the forum but worth repeating that RIT/RCP is not a WP fund in the way that CGT and PNL are - it is much, much more volatile. The Quitler piece in the Telegraph explains that 45% of assets are now in unquoted stocks. A true WP fund would never take such punts and be trading at a 20% discount to NAV. Of course it's not the first time a fund has invested in unquoted companies rather than sticking to its stated purpose... eight letters beginning with W, anyone?

Thanks.
How do you find out the same information for CGT and PNL?

Just look on Trustnet, or on a platform like HL or Fidelity.
The portfolio of PNL and CGT is clear, unlike that of RIT.