Investments  

Edinburgh Worldwide mandate change to prompt manager switch

The board of the £240m Edinburgh Worldwide investment trust is seeking a change in mandate which would mean manager Mark Urquhart makes way for colleague Douglas Brodie.

Mr Urquhart has managed the trust since November 2003 since when it has delivered a share price total return of 229.5 per cent compared to the benchmark MSCI AC World index’s return of 115 per cent, according to data from FE Analytics.

But the board has said it wants to alter the trust to “allow the managers to invest principally in smaller, less mature companies” typically with a market cap of less than $5bn.

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“This would result in portfolio responsibility being passed to Douglas Brodie with John MacDougall as his deputy,” the board said in the trust’s annual results released today.

The board said shareholder authority will be sought at the annual general meeting on January 27.

Mr Brodie runs the group’s £91.3m Global Discovery fund and previously ran its £202.9m British Smaller Companies fund, now managed by Andrew Strathdee.

Mr Urquhart also runs the Long Term Global Growth fund.

The Edinburgh Worldwide trust reported strong annual results to October 31 after it delivered a share price return of 44.4 per cent against the benchmark index’s 21 per cent, the results said.

“In spite of the volatility of markets, a feature of many of the companies in the portfolio has been their consistently strong operational performance across different industries,” the results said.

“Several of the portfolio’s strongest performers in share price terms over the year were notable laggards in the previous one.

“In the past 12 months Facebook and Ctrip are up almost 140 per cent and over 170 per cent respectively. Portfolio turnover was 21 per cent.”