Trojan Global Income Fund
The investment objective of the Trojan Global Income Fund is to provide income with the potential for capital growth in the medium term. The fund’s policy is to invest substantially in equities globally. It may also invest in fixed interest securities, indices, deposits, collective investment schemes and money market instruments.
Introducing the Fund
|'O' Share Class||Price 23/05/2017|
The UK snap election call triggered a sharp appreciation in sterling to the detriment of non-sterling returns earned in this global portfolio.
Any strength is likely to prove ephemeral. The UK has a substantial fiscal and current account deficit and is unlikely to have a structurally strong currency even before the effects of Brexit are considered. Longer-term, diversifying away from sterling is still likely to have some merit.
We added Accenture to the portfolio. It benefits from the need to manage the massive technological changes affecting global companies without choosing which technology will be the long-term winner. An asset-light but brain-heavy business model delivers outstanding financial productivity (10 year average ROCE of 46%), strong customer captivity (97 of their top 100 clients have been with them for 10 years) predictability and robust pricing. (Source : Bloomberg, company filings)
We invested in this unindebted company with a 6.0% growing free cash flow yield supporting a 2.2% prospective dividend yield that has compounded at 12.4% over the last 5 years. A huge total addressable market and high returns on capital delivered by a conservatively financed business with a commitment to shareholder returns makes for a rare global equity income opportunity.
|Top 10 Holdings||Fund (%)|
|Total Top 10||33.6|
|29 other holdings||60.1|
|Cash & equivalent||6.3|
How to Invest
You may invest directly, via a broker or adviser, or through a number of online fund platforms.
- Fund Manager
- Inception Date
- Available Share Class
O, I, S
- ISIN (O Class)
- Bloomberg (O Class)
- Sedol (O Class)