Trojan Ethical Income Fund

The investment objective of Trojan Ethical Income Fund is to seek to provide income with the potential for capital growth in the medium term. Its investment policy is to invest substantially in UK and overseas equities. Trojan Ethical Income Fund may also invest in fixed interest securities, indices, deposits, collective investment schemes and money market instruments.

The fund will invest in accordance with the parameters of its ethical investment criteria, which consider ethical issues in relation to: fossil fuels, pornography, tobacco and certain types of armaments. A document setting out the fund’s ethical investment criteria is available here.

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

'O' Share Class Price 19/02/2019
Accumulation Shares
Income Shares
Fund Size
£91M (31/01/19)

January 2019

Your Fund returned +2.8% during the month compared to +4.2% for the FTSE All-Share Index (TR).

The Fund captured much of the rally from the December lows with positive trading statements from the likes of Next and Dairy Crest pushing up share prices by more than 20% and 15% respectively. The market had been discounting a further deterioration in trading over Christmas but the sharp rebound reflects the degree to which many stocks in the UK had de-rated.

Another such stock is Victrex, the manufacturer of a high-performance polymer used in applications as varied as aircraft brackets, mobile phones and medical joint reconstruction.  The compound’s superior thermal, mechanical and chemical resistance properties mean that Victrex has a huge pipeline of potential new uses for the plastic which will underpin the growth in volumes sold.  The elevated price point at which this high-specification material sells means Victrex can deliver operating margins of nearly 40% and unlevered returns on equity of 23%.

Some of the company’s end markets are undoubtedly cyclical but global trade and growth concerns have already reduced profit expectations to the extent that the Fund made an investment in this high-quality industrial on ~18x forward earnings and an ordinary dividend yield of ~2.5%.  Victrex’s ordinary dividend is often supplemented by special pay-outs which, for 2018, raised the yield to over 6%.

We are pleased to inform investors that the final dividend for the O Income share class will be 1.76p, making a total dividend for the year to January 31st of 3.54p. This represents a 2.5% increase over the previous year’s total dividend.


Source: Lipper, Link Fund Solutions Limited

This chart shows performance of the Trojan Ethical Income Fund O Acc share class from launch

Total Return to 31 January 2019 06/01/16
Since Launch
3 Years
1 Year
6 Months 
Trojan Ethical Income Fund O Acc +18.8% +20.2% +1.0% -2.2%
LIBID* GBP 1 Month +1.0% +1.0% +0.5% +0.3%
FTSE All-Share Index (TR) +27.8% +28.5% -3.8% -8.4%

*London Inter Bank Bid Rate

Discrete Calendar Annual Returns (%) 2016# 2017 2018 2019
Trojan Ethical Income Fund O Acc +8.0 +10.2 -2.9 +2.8%

# From launch (06/01/16)

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

Top 10 Holdings Fund %
Unilever 5.0
GlaxoSmithKline 4.5
Compass 4.3
Lloyds 4.2
Colgate-Palmolive 3.7
Reckitt Benckiser 3.7
National Grid 3.6
Procter & Gamble 3.5
Nestlé 3.5
Coca-Cola 3.2
Total Top 10 39.2
34 Other Holdings 54.3
Cash & Equivalent 6.5
Total  100.0

How to Invest

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

How to Invest


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.