Best In Class  

Best in Class: Murray International Trust

Mr Stout currently sees value in emerging markets and Latin America, which combined account for around 55 per cent of the portfolio.

Mr Stout believes the risks of a widespread economic slowdown are clearly rising, adding that “policy impotency and prospective profit shortfalls are likely to dominate the investment landscape between now and the end of the calendar year”.

He expects risk aversion among investors to dominate until this subsides. As a result, the trust remains focused on quality, under-leveraged companies where expectations tend to be lower than the broader markets.

During his tenure, Bruce has returned 514.5 per cent, compared with 335.2 per cent for the IT Global Equity Income sector. The trust currently offers a 4.3 per cent yield.

The trust tends to have a large number of long-term investors and the board does not wish to see a big fluctuation in the share price discount or premium.

It has typically traded at a premium in the past five years (currently 3.9 per cent). Total gearing of up to 30 per cent of NAV is permitted in normal market conditions (currently 12.7 per cent).

This trust is ideal for investors who have a long-term investment horizon and are looking for income and growth from global markets.

The focus on defensive businesses where the manager feels he will be able to retain both earnings and dividends, without paying over the odds, is ideal in most environments, particularly this one.

Darius McDermott is managing director at FundCalibre