Troy has launched a new fund to take advantage of global income opportunities.
Review
Troy Asset Management launched the Trojan Global Income fund on 1 November.
Managed by former Newton Global Income fund manager, James Harries, the fund will focus on global enterprises with high returns, and aim to produce income on a long-term basis.
It will hold around 30-50 stocks, all of which have been selected using top-down analysis to govern asset allocation decisions and bottom-up analysis when it comes to buying individual stocks.
As the name suggests, Trojan Global Income offers investors opportunities to take advantage of investments, which lie outside of the UK market.
Highlighting the appeal of deviating from sterling-based businesses, Mr Harries suggests that the fund’s portfolio will be in line with other Troy Asset Management portfolios, most of which have a good track-record when it comes to performance and are known for a more cautious stance.
The Global Income portfolio is slated to apply three particular elements to its strategy, including plans to capitalise on what Mr Harries believes will remain a low inflation environment, avoiding emerging markets and related sectors, and buying firms whose share prices have slumped as a result of short-term issues.
The fund does not have a specific yield target, but hopes to achieve a yield of 3 per cent.
www.taml.co.uk/funds/uk-ucits/trojan-global-income-fund/
Comment
Troy Asset Management generally fares well when it comes to its income products, and the Trojan Global Income should be no different if a similar strategy is employed.
James Harries, although a newcomer at Troy, enjoyed success with his former £4.5bn Newton Global Income fund, returning 136 per cent while at the helm, and he is expected to keep his process much the same on the new product. Mr Harries intends to keep his eye on utility shares and other similarly low-risk companies.
If you believe the UK economy faces headwinds from the impact of Brexit, it makes sense to pay attention to funds that embrace global equities.
Given Troy’s practice of investing in businesses with high returns on a long-term basis, the Trojan Global Income fund seems to be a relatively sensible option.
