Where are the investment opportunities in 2023?
This article first appeared on Trustnet.com on 5th January 2023 “And now for something completely...
Another year has come and gone and we find ourselves in 2020, looking at the year ahead and no doubt making – and already breaking – our New Year’s Resolutions.
According to some research on the topic, about 60% of us admit that we make New Year’s Resolutions – but only about 8% of us are successful in achieving them.
So, if you need some more motivation – or will-power – to stick to your pledge, we thought we’d take a look at some Elite Rated funds that are investing in our promises:
Both LF Gresham House UK Micro Cap* and Unicorn UK Smaller Companies* have holdings in Gym Group – the low cost gym chain founded by John Treharne, a former England squash player, in 2008. It was the first European gym operator to float in more than a decade when it made a successful IPO on the London Stock Exchange in 2015.Open 24/7, almost every day of the year, importantly for some there are no contract tie-ins.
And if you need new kit to go with it, a visit to JD Sports – a holding in Marlborough Special Situations** – is perhaps an option, especially while the January sales are still on.
Pernod Ricard is a holding in GAM Star Continental European Equity***, Threadneedle European Select*** and Jupiter European***. While you would probably associate it more with alcoholic beverages, the company has also entered the low- and no-ABV (alcoholic volume) drinks territory with the launch of an alcohol-free ‘dark spirit’ in June 2019. With a flavour of “sweet vanilla, spices and oak”, it is supposed to taste like whisky.
Meanwhile, Irish brewer Guinness (which is part-owned by Diageo, a holding in AXA Framlington UK Select Opportunities***, Investec UK Alpha*** and Smith & Williamson Enterprise***), launched a limited edition “ultra-low ABV stout” to coincide with its sponsorship of the Rugby World Cup in Japan last winter.
But if you prefer staying away from anything resembling alcohol at all, Coca Cola – the world’s largest soft drink producer^ – is a holding in Lazard US Equity Concentrated*** and Morgan Stanley Global Brands***.
If spending more time with the family is high up your agenda for 2020, but need some ideas as to how to spend that time, Marlborough Multi Cap Income** has some relevant holdings in Cineworld and Hollywood Bow. Manager Sid Chand-Lall talked about Cineworld becoming the second largest cinema operator in the world, in his FundCalibre podcast last year.
Unicorn UK Smaller Companies* has also recently initiated an investment in The Fulham Shore – the owner of Franco Manca and The Real Greek restaurants.
Meanwhile, for those who are looking to start a new job or new career in 2020, a number of Elite Rated funds invest in recruitment companies and businesses making the workplace a better place to be. Marlborough Special Situations** owns Robert Walters, and LF Gresham House UK Micro Cap owns Staffline, while Liontrust UK Micro Cap^^ has a holding in Mind Gym, a corporate training business which applies the principles of behavioural science to effect change within the corporate environment.
The Liontrust managers participated in the first share placing of Mind Gym in June 2018 when it debuted on the AIM stock market. They believe the company possesses strong intellectual property, commenting: “The company has created a suite of bite-sized tutorials, or “workouts”, and it is able to deliver them via a global network of trainers.”
And finally, while most people try to do something about their health or well-being, by making a few small changes, the new year is also a good time to start making your bank balance healthier.
For example, by cutting down on takeaways (and those other little indulgences such as wine and daily Starbucks) and instead making a meal plan for the whole week, you could save enough money to either start investing or increase your current savings.
What is your New Year’s resolution this year?
*Source: FE Analytics, full holdings as at end November 2019
**Source: FE Analytics, full holdings as at end September 2019
***Source: FE Analytics, as at 2 January 2020
^Source: Statistica 2020
^^Source: Fund fact sheet, 30 November 2019