One year since launch, here are your Super 60 favourites and our review of Lindsell Train UK Equity.
One year on since interactive investor launched its first rated list, Super 60, investment trusts are dominating the buys.
Whilst these will tend to have been consistently popular with customers over the years, and these rankings include all customers (not just those informed by our rated list), it does illustrate appetite for investment trusts.
Moira O’Neill, Head of Personal Finance, interactive investor says:
“We are instrument agnostic, selecting the best across the investment universe. But what this data shows is that whilst investment trusts might be the Cinderellas of the investment world, seldom invited onto rated lists and rarely recommended by financial advisers, they are the natural home of self-directing private investors. So, the question of why they are so under-represented on most platform rated lists and model portfolios remains to be answered.”
Top 10 most-popular investment trusts and funds on Super 60 list in 2019
No changes to line up, and a formal review lifted
One year since the launch of Super 60, there have been no changes to the line up to date, but LF Lindsell Train UK Equity was put under formal review on 29 November 2019. This review has now been concluded, it has been removed from being under formal review, and it will remain on our Super 60 list.
Dzmitry Lipski, Head of Funds Research, interactive investor says: “In line with our stated methodology, Lindsell Train UK Equity was put under formal review on 29 November 2019. Long-term performance is excellent, and the fund has grown significantly since we added it to our list. As a result, and because of the highly concentrated nature of the fund and a recent downgrade by two independent external agencies, we wanted to reassure ourselves that there has been no deterioration in liquidity.
“The interactive investor selection team conducted extensive analysis on the liquidity, capacity and concentration of Lindsell Train UK Equity, and spoke to the fund manager at length. The key outcome is that our investment selection committee is comfortable with the liquidity of the fund, it has been removed from being under formal review, and it will remain on our Super 60 list. The majority of the holdings are large, liquid companies with diversified revenue streams. In terms of capacity, there is plenty of room for further growth without compromising the mandate. The fund has always had a concentrated, high conviction approach but has a low turnover and long-term successful track record.”
Best & worst performers
In performance terms, 60% of active funds on Super 60 are in 1st and 2nd quartile versus peers over 1 year to 31 December 2019, 83% over 3 years and 85% over 5 years.
Throughout 2019, the best-performing Super 60 option on an absolute basis was Henderson Smaller Companies (LSE:HSL) which was up 46% over the period, followed by TR Property (LSE:TRY) which was up 41% over the period and Man GLG Continental European Growth, up 31%. On the other hand, the lowest performing funds were BMO Commercial Property (LSE:BCPT), down 2% over the period, Templeton Emerging Markets Smaller Companies, up 2% and BlackRock Frontiers (LSE:BRFI), up 4% over the period.
Over five years, the best performing options on an absolute basis included Baillie Gifford Shin Nippon (LSE:BGS), Legg Mason IF Japan Equity, Scottish Mortgage (LSE:SMT), Lindsell Train Japanese Equity and TB Amati UK Smaller Companies which were all up more than 130% over the period. Overall, the Super 60 rated list, including active and passive options and bond funds, on average returned 18% in 2019.
Past performance is no guide to the future and the value of investments can go down as well as up and you may not get back the full amount invested.
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.