Who else owns Lindsell Train Japanese?

Thrugelmir

tebbins said:

aroominyork said:

I will start by asking for no posts saying "How would you invest if your cash was in the bank today?".

So, the miserable ride of the last year continues. I realised early this year that the Japanese market is highly - perhaps uniquely - unpredictable, for reasons I don't fully understand. I decided that because the fund holds quality companies it will recover in not too long, and then I will sell it and buy a Japanese index fund with the proceeds. But that time seems to be disappearing further and further into the future.

https://youtu.be/oMmocnLnVgQ start at 08:23

Japan has been a weird one since the asset bubble, the Imperial Palace was worth more than California, and 13 of the top 20 companies in the world by market cap were Japanese. I can't remember if it was Train or Smith who said in an interview Japan is not the same proposition you get in Europe or the US - keiretsus, the emphasis of national security and financial stability over growth and dividends etc.

Was a listening to a Blackrock Investment Manager a couple of months ago who has lived in Japan for the past 15 years. Was a fascinating insight into a very different corporate world. Names you'd never of heard of in the mid cap space. Also the challenges faced by the Japanese economy. A country I've always wanted to visit to gao some understanding of their culture. Often gets forgotten that they delibrately cut themselves off from the rest of the world for 200 years. 

aroominyork

When I want a laugh I sometimes look at interviews with Nick Train. I did so yesterday and it made me wonder how LT Japanese has done over the last few years (answer: miserably). I googled if anyone has commented on this and it took me to this thread I started back in 2021!! Luckily I sold out during Sep 2021 and bought a Japanese index fund. It is astonishing how badly LT have performed in recent years and, watching Train's ridiculous interviews, I can't help feeling a little schadenfreude. Just look at that 5y column - the four funds average over 80% underperformance against their equivalent index funds.

InvesterJones

https://forums.moneysavingexpert.com/discussion/comment/82044661#Comment_82044661

You've jinxed it, no-wonder the index is down today ;)

aroominyork

https://forums.moneysavingexpert.com/discussion/comment/82044830#Comment_82044830

But will LT buck the trend? Anyone holding their breath? Yesterday LT Japanese was down 0.51% while the index was up 1.61%.

masonic

https://forums.moneysavingexpert.com/discussion/comment/82044880#Comment_82044880

What does the fund manager have to say about the portfolio's positioning? What are they expecting to happen that hasn't so far that would lift this run of woeful performance?

aroominyork

Their answer would presumably be "quality will come good". Anyway, it was only down 0.43% today against the index 4.10% down so clearly it's turned the corner.

masonic

https://forums.moneysavingexpert.com/discussion/comment/82045414#Comment_82045414

Kodak, Blockbuster, Nokia, each ticked the quality box… so are the 10 companies that make up over 60% of this portfolio (or the 9 that make up the rest of it) quality with the potential to grow and adapt their market in the future, or quality that's vulnerable to further erosion of their market?

aroominyork

Impressive histories which cannot adapt to modern times? I wonder if these companies change their CEOs as often as we change our PM.

masonic

Nintendo (#2 holding in LTJ) has had only 6 presidents since it was founded in 1889. But the first 5 were from the same family.

Be careful what you wish for ;)

aroominyork

Today’s LT report:

LT Global -0.88%, Index -1.61%. LT annualised outperformance 182.5%.

LT Japanese -0.43%, Index -4.10%. LT annualised outperformance 917.5%.

LT North American -1.33%, Index -1.75%. LT annualised outperformance 105.0%.

LT UK -0.13%, Index -0.16%. LT annualised outperformance 7.5%.

Incontrovertible evidence that Lindsell Train’s strategy works.

(Index funds are Fidelity. Annualised performance assumes 250 trading days per year. I have no conflicts of interest to declare.)