10 most-bought funds – December 2019
Three new entries vaulted into the top 10 table in the final month of 2019.
10th January 2020 08:30
by Nina Kelly from interactive investor
Three new entries vaulted into the top 10 table in the final month of 2019.
While Fundsmith Equity and Vanguard LifeStrategy 80% Equity continue their reign at the head of the most-bought funds table, in first and second place respectively, three new funds have entered the top 10.
The trio that have entered the list, which is compiled from data supplied by our parent company interactive investor, all focus on UK mid-caps and smaller companies.
Growth-focused passive play HSBC FTSE 250 Index, Franklin UK Mid Cap and TB Amati UK Smaller Companies, take sixth, seventh and eighth place, respectively. Their presence in the table suggests that the Conservatives’ victory in the UK general election result on 12 December has renewed investors’ confidence in UK companies and their prospects.
While the number of Vanguard funds fell from five to four last month, two of the low-cost trackers, Vanguard LifeStrategy 60% and Vanguard LifeStrategy 100% Equity, have risen up the table, and are in third and fifth place, respectively.
The LF Lindsell Train UK Equity fund continues to sink and has fallen three places to number 10. It was recently reported that the fund, which is managed by the highly experienced Nick Train and has returned 23% year to date, has been downgraded by Morningstar from gold to bronze. Lindsell Train Global Equity, meanwhile, has slipped one place to fourth.
Finally, Vanguard US Equity fell one place to the ninth spot. As we report in our global overview for 2020, two questions investors cannot ignore are: how much longer can the US economy keep growing, and who will triumph in November’s presidential election?
| Rank | Fund | IA Sector | Change since November | 1-year return (to Jan 6) | 3-year return |
|---|---|---|---|---|---|
| 1 | Fundsmith Equity | Global | no change | 25.90% | 59.10% |
| 2 | Vanguard LifeStrategy 80% Equity | Mixed Investment 40%-85% Shares | no change | 20.00% | 26.30% |
| 3 | Vanguard LifeStrategy 60% Equity | Mixed Investment 40%-85% Shares | 1 | 16.70% | 22.20% |
| 4 | Lindsell Train Global Equity | Global | -1 | 18.30% | 69.20% |
| 5 | Vanguard LifeStrategy 100% Equity | Global | 1 | 23.50% | 30.60% |
| 6 | HSBC FTSE 250 Index C | UK all companies | new entry | 28.90% | 30.90% |
| 7 | Franklin UK Mid Cap | UK All Companies | new entry | 42.30% | 54.70% |
| 8 | TB Amati UK Smaller Companies | UK all companies | new entry | 30.70% | 66.70% |
| 9 | Vanguard US Equity Index | North America | -1 | 28.80% | 38.20% |
| 10 | LF Lindsell Train UK Equity | UK all companies | -3 | 23.40% | 44.90% |
These articles are provided for information purposes only. Occasionally, an opinion about whether to buy or sell a specific investment may be provided by third parties. The content is not intended to be a personal recommendation to buy or sell any financial instrument or product, or to adopt any investment strategy as it is not provided based on an assessment of your investing knowledge and experience, your financial situation or your investment objectives. The value of your investments, and the income derived from them, may go down as well as up. You may not get back all the money that you invest. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.
Full performance can be found on the company or index summary page on the interactive investor website. Simply click on the company's or index name highlighted in the article.
This article was originally published in our sister magazine Money Observer, which ceased publication in August 2020.
These articles are provided for information purposes only. Occasionally, an opinion about whether to buy or sell a specific investment may be provided by third parties. The content is not intended to be a personal recommendation to buy or sell any financial instrument or product, or to adopt any investment strategy as it is not provided based on an assessment of your investing knowledge and experience, your financial situation or your investment objectives. The value of your investments, and the income derived from them, may go down as well as up. You may not get back all the money that you invest. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.
Full performance can be found on the company or index summary page on the interactive investor website. Simply click on the company's or index name highlighted in the article.