Trojan Fund

Troy

A multi-asset fund that aims to protect investors’ capital and grow its value in real terms over the long term. We combine cautious asset allocation with careful selection of high-quality companies, purchased at fair valuations.

What does the Fund do?

Through a long-term, long-only approach, the Fund has the flexibility to invest in a broad range of asset classes. We primarily invest in developed market equities and bonds, gold-related investments, as well as cash and short-dated Treasury bills.

Why this Fund?

Aimed at investors who want a multi-asset fund emphasising capital preservation and absolute returns. The Fund’s emphasis on downside risk management and high-quality securities aim to deliver strong risk-adjusted returns over the long-term. The Fund integrates ESG and stewardship in accordance with Troy’s Responsible Investment & Stewardship Policy and also adheres to Troy’s Climate Change Mitigation Policy, in accordance with article 8 of SFDR.

View our SFDR disclosure

Commentary

May 2024

Your Fund was flat last month, compared to +2.4% for the FTSE All-Share Index (TR).

Renewed speculation has continued in the equity market, fed in part by the boom in AI-related expenditure.  How sustainable this is, remains to be seen.  In contrast, the secular bear market in bonds, which began in 2020 when yields troughed during the pandemic, has continued with modestly rising yields (and falling prices) in 2024.  It is becoming clear that we have entered a new era of upward yield pressure and a commensurate rising cost of capital.  It may take time for equity markets to reflect this change, as valuations for equities remain high by historic levels, but the gravity of higher interest rates is likely to eventually reassert itself.  This new regime is the reverse of the 2010s, when benign inflation and low growth meant expectations of interest rate rises were continuously dashed and bond yields ground ever lower.

At the beginning of 2024, the consensus forecast was for no less than six interest rate cuts over the coming year from the U.S. Federal Reserve and the Bank of England.  Yet five months on, interest rate cuts haven’t been forthcoming.  Fewer cuts, when they eventually arrive, may imply interest rates bottom at a higher level than many expect, with further implications for long-dated bond yields and equities.  As a result, we continue to keep the Fund’s duration risk low, which served us well in 2022 when we avoided material drawdowns from rising yields.  We suspect there is a need to acclimatise to this new environment.  Despite easy comparisons from price levels of a year ago, inflation has remained stickier than expected with core levels still stubbornly above central bank targets in the US and the UK.  This volatile path of inflation plays into our preference for holding inflation-linked bonds, which offer positive real yields and have outperformed conventional bonds in recent years.

Key facts

Fund Manager

Sebastian Lyon

Assistant Fund Manager

Charlotte Yonge

Inception date

31/05/2001

Currency

Sterling

Available share classes

O, I, S, X

ISIN (O Class)

GB00B01BP952 (Acc)
GB0034243732 (Inc)

Bloomberg (O Class)

CFTROJA_LN (Acc)
CFTROJI_LN (Inc)

Sedol (O Class)

B01BP95 (Acc)
3424373 (Inc)

Fund rating

© 2024 Morningstar, Inc. All Rights Reserved.

Benchmarks

For more information on the benchmarks used please refer to the ‘use of benchmarks’ section in the fund information sheet

Ongoing Charges

‘O’ (ordinary) shares: 1.01%

‘O’ ACC SHARE CLASS as at 20/06/2024

405.96p

Fund size as at 31/05/2024

£5,264m

‘O’ INC SHARE CLASS as at 20/06/2024

324.32p

Performance

Source: Lipper, Waystone Management UK Limited

31/05/200131/05/201431/05/201931/05/202131/05/202330/11/2023
Since Launch10 Years5 Years3 Years1 Year6 Months
Trojan O Income339.165.427.79.34.14.5
UK Retail Price Index121.050.433.127.52.62.0
FTSE All-Share TR259.677.637.325.515.413.6
Bank of England Base Rate63.012.19.58.75.32.7
Discrete Calendar Annual Returns (%)200120022003200420052006200720082009201020112012201320142015201620172018201920202021202220232024
Trojan O Income0.64.115.410.315.9126.11.111.614.48.52.1-3.18.93.212.34.1-310.77.412.1-3.82.72.8

Performance is calculated on a total return basis, net of fees, in sterling terms. Past performance is not a guide to future performance

Source: Lipper, Waystone Management UK Limited. Since Launch (31/05/2001) to 31 May 2024.

Risk and Volatility since launch

Source: Lipper, Waystone Management UK Limited

Risk Analysis Since Launch (31/05/2001)Trojan O IncomeFTSE All-Share TR
Total Return339260
Max Drawdown-14-46
Best Month913
Worst Month-5-15
Positive Months6659
Annualised Volatility614

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

Maximum Drawdown measures the worst investment period

Annualised Volatility is measured by the annualised standard deviation of the monthly returns

Source: Lipper, Waystone Management UK Limited. As at 31 May 2024.

Asset allocation

Top 10 holdings (excluding government bonds)Fund %
iShares Physical Gold6.24751072966136
Invesco Physical Gold5.98963340066442
Unilever4.36138403993202
Visa3.14350866840447
Nestle2.83370458364359
Diageo2.41361017971442
Alphabet2.39739177589787
Heineken Holding2.33632910576358
Microsoft2.33514876199211
Becton Dickinson1.61477927529105
Total Top 1033.6730005209649
7 Other Equity holdings6.0896637826058
US TIPS36.1242132295547
Short-dated Gilts12.889600093848
US Short-dated Treasuries5.97461514864587
UK Index-Linked3.49530464917425
Cash1.75360257520654
Total100

Asset allocation and holdings subject to change. As at 31 May 2024

Fund literature

Document name Date Open/download Archived documents
Factsheet     View archive Hide archive
UCITS KIID     View share classes Hide share classes

Annual Report

January 2024 View document Download document  

Interim Report

July 2023 View document Download document  

Fund Information Sheet

View document Download document  
Prospectus & Additional Investor Information     View documents Hide documents

Sustainability-related Disclosures

View document Download document  
Investment Report     View documents Hide documents
Special Paper     View papers Hide papers

Important Information

Past performance is not 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. Returns may increase or decrease as a result of currency fluctuations. 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. In line with the Fund’s prospectus, the Fund is authorised to invest in transferable securities and money market instruments issued or guaranteed by an EEA state, one or more local authorities, a third country, or a public international body to which one or more EEA states belong.  The Investment Manager would only consider investing more than 35% of the Fund’s assets in UK or US government issued transferable securities or approved money market instruments. 

Some of the information contained on this page: (1) is proprietary to Morningstar and/or its content providers​; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. 

Important information for U.S. persons

The securities described on this website are neither available nor offered in the United States of America (including the District of Columbia or any other territory occupied or possessed by the United States of America) or to U.S. persons (including residents of the United States of America, residents within an area subject to its jurisdiction and U.S. persons who are resident outside the United States of America).

For the full fund disclaimer please refer to the Fund factsheet.

Please refer to Troy’s Glossary of Terms available here.

How to invest

Find more information on how to invest in this fund and where it is available.

How to invest

Website Terms and Conditions

Welcome to the website of Troy Asset Management Limited (“Troy”, “we”, “our”, “us”).  Please read these terms and conditions carefully.  By accessing this website you are indicating that you have read, acknowledge and agree to be bound by the following terms and conditions and that you have read Troy’s Privacy Notice (which can be accessed here).  If you do not agree to these terms, you must stop using this website immediately.

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Troy Asset Management Limited is authorised and regulated by the Financial Conduct Authority (“FCA”) of the United Kingdom which can be contacted at 12 Endeavour Square, London E20 1JN.  Troy is registered on the FCA’s register with firm reference number 195764.  Troy is registered with the U.S. Securities and Exchange Commission (“SEC”) as an Investment Adviser (CRD: 319174).  Registration with the SEC does not imply a certain level of skill or training.  Troy is the owner and operator of this website and can be contacted using the details set out in section 11 below.

This website describes Troy’s capabilities and is for information purposes only.  Nothing in this website should be construed as investment, tax, legal, accounting or other advice.

The securities described on this website are not intended for use and are not offered in the United States of America or to U.S. Persons.  Please see section 2 for further detail.

  1. Who may access this website – subject to local restrictions

The information on this website is directed at persons in the United Kingdom (“UK”) and not otherwise. The availability of any funds managed by Troy or services provided by Troy mentioned on this website in any jurisdiction other than the UK is subject to local restrictions.  Except as specifically set out below the funds mentioned on this website have not been registered or approved for distribution under the laws of any jurisdiction other than the UK.

If you are accessing this website from a jurisdiction other than the UK, you are required to inform yourself of and observe any applicable local restrictions.  If you choose to access the website and you do so from a country other than the UK, you do so at your own risk and Troy will not be liable for any breach of local law or regulation that you commit as a result of doing so. The information available on this website does not constitute an offer of, or an invitation to apply for or purchase, any securities.

Trojan Investment Funds and its sub-funds are UK funds established under the provisions of the European Directives on the co-ordination of laws, regulations, and administrative provisions relating to undertakings for collective investment in transferable securities (“UCITS”) (Directive 2009/65/EC) as implemented in the UK.  Trojan Investment Funds is authorised by the FCA.  Certain sub-funds are available for distribution in Ireland (for professional investors only), Singapore (for institutional investors only), Switzerland (for qualified investors only) and are registered for distribution to the public in the UK.

Trojan Fund (Ireland), Trojan Income Fund (Ireland), Trojan Global Income Fund (Ireland) and Trojan Ethical Fund (Ireland) are sub-funds of Trojan Funds (Ireland) plc which is an Irish UCITS subject to the laws of the Republic of Ireland.  Each is authorised in the Republic of Ireland by the Central Bank of Ireland, and is a scheme recognised by the FCA under the Financial Services and Markets 2000 Act (“FSMA”).  Trojan Fund (Ireland) and Trojan Income Fund (Ireland) are registered for distribution in Austria (certain share classes only), Germany (certain share classes only), Ireland, Italy (for institutional investors only), Singapore (for institutional investors only), Spain (certain share classes only), Switzerland and the UK.  Trojan Fund (Ireland) is also registered in Portugal (certain share classes only). Trojan Ethical Fund (Ireland) is registered for distribution in Ireland, Singapore (for institutional investors only), Spain (certain share classes only), Switzerland and the UK.  Trojan Global Income Fund (Ireland) is registered for distribution in Ireland, Spain (certain share classes only), Switzerland and the UK.

  1. Important information for U.S. Persons

This website as well as the securities described on this website are not intended for use and are not offered in the United States of America (including the District of Columbia or any other territory occupied or possessed by the United States of America) or to U.S. Persons (including residents of the United States of America, residents within an area subject to its jurisdiction and U.S. Persons who are resident outside the United States of America).  As such, by accepting these terms you represent and warrant that you are not a U.S. Person as defined under Regulation S of the United States Securities Act of 1933, as amended.

U.S. Persons interested in services provided by Troy should instead contact us directly on [email protected] or call +44 (0)20 7499 4030.

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The products and services described on this website may not be suitable for all investors.  Troy does not provide investment advice or make personal recommendations to investors.  If you wish to obtain advice about the suitability, or have any doubt about the suitability, for you of products managed by Troy or services provided by Troy, you should contact a financial adviser.

Should you have any general queries or require support relating to Troy or its products and services, please do email [email protected] or call +44 (0)20 7499 4030.

  1. Risk warnings

The value of investments and the income from them 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.  Past performance is not a guide to future performance.

Tax legislation and the levels of relief from taxation can change at any time.  Troy does not provide tax, legal or accounting advice and therefore the information presented on this website should not be relied upon.  Please consult your own financial advisor before engaging in any transaction.

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Changes to website content

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We keep our terms and conditions under review.  These terms and conditions were most recently updated on 8 September 2023.

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  1. Contact details

Troy Asset Management Limited, 33 Davies Street, London W1K 4BP, United Kingdom; Telephone +44 (0)20 7499 4030; Email [email protected].  Troy Asset Management Limited is a limited company registered in England and Wales under company number 3930846 and has its registered office at 33 Davies Street, London W1K 4BP , United Kingdom. Except where otherwise required by applicable law or regulations, all communication and documentation sent to you by Troy will be in English.  You may communicate with us in English.

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