The Troy Trojan Global Income fund has been positioned "towards the cautious end of cautious" since before the global coronavirus pandemic, according to its manager James Harries, who said a torrid combination of central bank policy, fully-valued markets and elevated levels of debt led to an overweight in high-quality mega-cap US growth stocks and consumer staples.
This has fortuitously stood the manager in good stead as the Covid-19 crisis has continued to weigh on global equity markets, with the £263m fund achieving top-quartile returns over six months and one year of 3.4% and 7.1% respectively, while its average peer in the IA Global sector has lost a respective 5.4% and 1.5%, according to data from FE fundinfo. While many stocks in the portfolio may appear expensive, Harries said the divergence in performance between the high-quality growth companies that have proven resilient, and volatile cyclicals, will remain "a persistent feature of market...
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