CF Woodford Equity Income top performing fund over three years

Three years ago, the much-anticipated CF Woodford Equity Income fund was launched, attracting £1.6 billion. It has since ballooned to more than £10 billion in assets under management.
The fund celebrated its third birthday on Friday with a number one spot in the IA UK Equity Income sector. It returned 38.85%* over the period, beating all other 77 funds in its category.
Elite Rated Rathbone Income and Royal London UK Equity Income also made it into the top ten over the three years, returning 34.4%* and 33.08%* respectively.

However, it hasn’t all been plain sailing and 2016 in particular was a frustrating year for the Woodford fund. Neil’s underweight positions in banking and oil and gas sectors hurt his performance when these sectors bounced back in a mini value rally.

Neil has said that he is more positive today about the outlook for the UK equity market than he has been since the fund launched. While we’re still not in a ‘normal’ economic environment and the valuation of the UK’s stock market is quite high, he still believes our companies can thrive and deliver, but says picking the right companies in the coming years will be vitally important.

*Source: FE Analytics, total returns in sterling, 2 June 2014 to 5 June 2017

This article is provided for information only. The views of the author and any people quoted are their own and do not constitute financial advice. The content is not intended to be a personal recommendation to buy or sell any fund or trust, or to adopt a particular investment strategy. However, the knowledge that professional analysts have analysed a fund or trust in depth before assigning them a rating can be a valuable additional filter for anyone looking to make their own decisions. Past performance is not a reliable guide to future returns. Remember, all investments can fall in value as well as rise, so you could make a loss. Before you make any investment decision, make sure you’re comfortable and fully understand the risks.Further information can be found on Elite Rated funds by simply clicking on the name highlighted in the article.