L-R: Julia Faurschou, reporter at Investment Adviser, Rhys Petheram, fund manager on the Jupiter Distribution fund, and Richard Romer-Lee, managing director at Square Mile Investment Consulting & Research
Alastair Gunn and Rhys Petheram took the helm of the award-winning Jupiter Distribution fund in July 2010. Their objective is to provide a sustainable level of income with the prospect for long-term capital growth by investing in an actively balanced portfolio of fixed income securities and, in the main, UK equities.
The fund has been a member of the 100 Club for three consecutive years, with one of the judging panel noting it has been “very cautiously managed” by Mr Gunn and Mr Petheram.
This is one of several multi-asset funds the duo manage at Jupiter, alongside the High Income and Enhanced Distribution offerings. The fund house has told Investment Adviser in the past that its lower risk Distribution fund is aimed at cautious investors.
Performance figures from FE Analytics reveal the fund delivered 42.9 per cent over the five years to October 26, compared with the average 28 per cent return by the IA Mixed Investment 0-35% Shares sector in the same period.
The managers expect to deliver a distribution yield of 2.5 per cent, according to the fund’s factsheet.
Among the portfolio’s top-10 holdings are Royal Dutch Shell, HSBC and British American Tobacco.
What the judges say
The judges agreed this fund has successfully provided a sustainable income well above cash and modest long-term growth.
