InvestmentsMay 7 2013

Liontrust Income fund to invest globally

Search sponsored by

Liontrust is set to change the mandate on its £308.3m Income fund to allow it to invest globally.

The fund, managed by Gary West, James Inglis-Jones (pictured) and Samantha Gleave, will be moved to the IMA Global Equity Income sector from the UK Equity Income sector on July 3 2013.

The asset manager said there would be no other changes to the fund’s process, with the risk profile, expected dividend yield and portfolio concentration remaining “unchanged”.

Liontrust said it was making the switch because its “cashflow solution” investment process was better suited to a global mandate than a UK-centric one.

The firm said that since the process was applied to the Income fund in March 2009 the fund has delivered a return of 106.2 per cent against 98.3 per cent on the FTSE All-Share index and 93.9 per cent from the average fund in the IMA UK Equity Income sector.

James Inglis-Jones, co-manager of the Liontrust Income fund, said: “It has been our experience that the wider the universe of stocks we can select from, the greater the potential of the investment process to deliver strong returns.

“Increasingly, there are relatively few stocks in the UK that satisfy both our cash flow and yield criteria.”