This site uses some unobtrusive cookies to store information on your computer. These cookies are essential, as the site won't work as expected without them. These cookies are set when you submit a form, login or interact with the site by doing something that goes beyond clicking on simple links. 

We also use some non-essential cookies to anonymously track visitors or enhance your experience of the site. If you're not happy with this, we can disable these these cookies but some features of the site may not work. By using our site you accept the terms of our Privacy Policy.

Close

Spectrum Fund

The investment objective of the Spectrum Fund is to produce long-term capital growth. The Fund’s investment policy is to diversify investment predominantly in collective investment schemes, though the Fund may be invested in bonds, equities, cash and other eligible instruments from time to time. The Spectrum Fund may invest up to 100% of its assets in collective investment schemes. 

In addition to the O share class referred to on this page, I Classes are also available. Please contact us for more information.

'O' Share Class Price 23/02/2017
203.36p
Accumulation Shares
Income Shares
196.71p
Fund Size
£108M

January 2017

Your Fund returned +1.3% during the month compared to +0.6% for the MSCI World Index (£).

We recently met Nick Martin, manager of Polar Capital Global Insurance, one of Spectrum’s larger constituents.  In an ever more uncertain world, the staid and predictable nature of the companies in which Polar invests retain their appeal.  The fund avoids being overly exposed to the whims of Mother Nature, instead focusing on non-life insurers that specialise across a diverse range of commercial sectors including medical malpractice, crop and mortgage insurance.  The fund’s underlying holdings typically have decent pricing power, selling a product that is often required by law and thus consistently in demand regardless of the prevailing economic environment.

They also tend to have management teams that are closely aligned with investors through significant share ownership and remuneration that is linked to growth in book value per share.  This has led to strong track records of disciplined underwriting and the return of capital to shareholders.  The portfolio’s holdings have also, so far, largely avoided the disruptive impact of technological change.  Indeed, if anything, technology is helping to stabilise the industry as companies use data more efficiently to determine pricing.

The portfolio’s aggregate price-to-book value of c.1.4x is as high as it has been since the Financial Crisis but doesn’t look particularly stretched when viewed through a twenty-to-thirty year lens.  We believe this a fair price for companies with a history of successfully compounding their value over time.

Performance is calculated on a total return basis, net of fees, in sterling terms.

Source: Lipper, Capita Asset Services

The source of performance data has been changed.  This change may have resulted in variations from previously published performance figures.

Risk Analysis Since Launch (29/02/2008)Fund IA MSCI 
Total Return +98.4% +60.4% +135.4%
Max drawdown* -12.9% -33.5% -37.4%
Best Month +8.4% +7.3% +10.2%
Worst Month -5.8% -12.9% -10.6%
Positive Month +62.6% +61.7% +63.6%
Annualised Volatility +9.2% +11.7% +14.3%

*Measures the worst investment period

Performance is calculated on a total return basis, net of fees, in sterling terms.

 

Top 10 HoldingsFund (%)
Egerton Capital Equity  7.3
Morant Wright Sakura Hedged 6.3
Findlay Park American 5.7
Yacktman US Equity  5.6
Evenlode Income  5.5
Polar Capital Global Insurance 5.4
CG Portfolio Real Return  5.1
Odey Allegra Developed Mkts  4.8
Blackrock Gold & General 4.5
Stewart Asia  4.4
Total Top 10 54.6
13 other holdings 37.8
Cash & equivalent 7.6
Total 100.0
Past performance is not necessarily a guide to future performance. The value of a fund and any income from it may go down as well as up and investors may get back less than they invested. Changes in rates of exchange may cause the value of investments to go up or down. This data is provided for information only and should not be reproduced, published or disseminated in any manner. Although Troy considers the data to be reliable, no warranty is given as to its accuracy or completeness. Any comparisons against indices are for illustrative purposes only.

How to Invest

You may invest directly, via a broker or adviser, or through a number of online fund platforms.

Find Out More

Key Facts

  • Fund Manager
    Tom Yeowart
  • Inception Date
    29/02/2008
  • Currency
    £ Sterling
  • Available Share Class
    O & I
  • ISIN (O Class)
    GB00B2990B27 (Acc)
    GB00B2996V43 (Inc)
  • Bloomberg (O Class)
    CFTSPOA_LN (Acc)
    CFTSPOI_LN (Inc)
  • Sedol (O Class)
    B2990B2 (Acc)
    B2996V4 (Inc)

Related Literature