Five trusts on an attractive discount
Over the past few years, multi-asset managers have increasingly turned to investment trusts as a way...
2020 has been an extraordinary year. Bushfires, floods, swarms of locust, pandemics, racism and oil spills have all made the headlines. It’s been almost biblical at times and many lives and working practices have been turned upside down.
It’s been a roller-coaster ride for investors too. We started the year still in the longest bull market in history, only to have global markets plummet between February and March in the fastest bear market ever. Oil prices even turned negative at one point.
Thankfully, many asset classes have since recovered, but which investments have done best? We take a look at the best performing Elite Rated funds and trusts in 2020.
Interestingly, the top ten performing Elite Rated funds and trusts invest in a variety of equity markets. Some you would expect to have done well this year (the US and technology) but others – like Japan and emerging markets, may be more of a surprise for investors.
The best performing Elite Rated fund in 2020 is Baillie Gifford American. Run by a team of four co-managers who focus on the small number of companies that create exceptional returns, this fund has returned 118.25% for investors year to date*.
In second place is Scottish Mortgage Investment Trust – also run by managers from Baillie Gifford. James Anderson and Tom Slater look for higher growth prospects from around the world, focusing on finding tomorrow’s winners. The largest holding is currently Tesla**, whose share price has risen around 600% this year alone***.
In third place is Fidelity China Special Situations. Run by Dale Nicholls, this trust has a bias towards small and medium-sized companies and offers investors direct exposure to the China growth story. It has returned 68.59% year to date*.
|Rank||Fund/Trust||Percentage returns year to date*|
|1||Baillie Gifford American||118.25%|
|2||Scottish Mortgage Investment Trust||94.54%|
|3||Fidelity China Special Situations||68.59%|
|4||Baillie Gifford Global Discovery||67.98%|
|5||Premier Miton US Smaller Companies||62.72%|
|6||Smith & Williamson Artificial Intelligence||51.97%|
|7||T. Rowe Price Global Focused Growth Equity||46.91%|
|8||AXA Framlington Global Technology||46.35%|
|9||Aubrey Global Emerging Markets Opportunities||45.35%|
|10||Baillie Gifford Shin Nippon||44.61%|
Read our investment outlook for 2021 to see which asset classes the FundCalibre research team think could do well next year or watch our latest video interviews to hear what fund managers have to say about the prospects for 2021.
*Source: FE Analytics, total returns in sterling, 1 January 2020 to 9 December 2020.
**Source: fund factsheet, 31 October 2020
***Source: Yahoo Finance, 11, December 2020