Fund Focus: Troy Income & Growth Investment Trust
In the press•Published date 19 January 0200
What it does The trust aims to give investors an attractive level of income plus the prospect of capital growth through investing primarily in UK stocks.
What it invests in It channels a lot of money into large, blue-chip stocks such as oil giants Shell and BP. More than a quarter of the portfolio is in consumer stocks such as Unilever and Nestlé.
Performance Troy Income & Growth has produced a one-year return of 19.5%, putting it slightly ahead of the average for funds in its sector. Over five years it has returned 52.3%, well ahead of the sector average of 38.3%. It has a yield of 3.2%.
What the managers say “The trust benefits from Troy’s ethos of capital preservation, while still growing dividends over the long term through investing in quality stocks,” said Francis Brooke and Hugo Ure. “We look to invest in companies that are cash generative and those with strong barriers [to new competition in the market], where they can continue to deliver strong returns on capital.”
What the experts say Jason Hollands of Tilney, the wealth manager, said: “The trust is aimed at investors wanting a relatively cautious style of investing. However, a less racy approach has not resulted in lower returns . . . [it] has comfortably outperformed the UK market over one, three, five and 10 years.”