Lindsell Train funds – investment risk update
Important notes
This article isn’t personal advice. If you’re not sure whether an investment is right for you please seek advice. If you choose to invest the value of your investment will rise and fall, so you could get back less than you put in.
18 May 2023 | 2m read
As part of our ongoing monitoring and analysis we assess the manager, process, culture, ESG integration and performance of funds under research coverage. This research is informed by analysis of the governance, oversight, and risk processes that shape the environment in which fund managers operate.
Our analysis highlighted some concerns around the capabilities and resource that the Lindsell Train business has in place to provide effective challenge to investment teams. We believe specific capabilities and resource are required to deliver effective oversight in line with industry good practice.
Following a period of engagement with the team at Lindsell Train, we do not feel that the pace of progress has been satisfactory.
At present, we don’t feel that the investment risk framework currently in place is sufficiently robust, nor that Lindsell Train have the correct capabilities, to provide strong independent oversight and challenge of the investment team. We will continue to monitor the situation and let investors know if our views change.
This is not a judgement on the investment capabilities of the fund managers at Lindsell Train. Nick Train, Michael Lindsell, James Bullock and the rest of the investment team are patient, long-term investors and have established a repeatable investment process across the funds they manage, hunting for high quality companies. This is an approach which has served investors very well over the long term.
This isn’t a recommendation to make any changes to a portfolio. Investors should make sure any investments match their investment goals, attitude to risk and are held as part of a diversified portfolio. If you're not sure if an investment is suitable for your circumstances, please ask for personal advice.
Lindsell Train Global Equity and Lindsell Train UK Equity are not currently on the Wealth Shortlist. Both funds were on the Wealth 50, a predecessor of the Wealth Shortlist, but we made the decision to remove them as the Lindsell Train business owns a significant number of shares in Hargreaves Lansdown plc. This was done to avoid any potential conflict of interest.
Scroll across to see the full table.
| Annual performance growth | |||||
|---|---|---|---|---|---|
|
Apr 18 - Apr 19 |
Apr 19 - Apr 20 |
Apr 20 - Apr 21 |
Apr 21 - Apr 22 |
Apr 22 - Apr 23 |
|
| Lindsell Train Global Equity | 24.73% | -1.59% | 17.95% | -4.90% | 8.75% |
| IA Global | 8.87% | -0.89% | 33.57% | 0.51% | 0.56% |
Past performance is not a guide to the future. Source: Lipper IM to 30/04/2023.
More on Lindsell train global equity, including charges
Lindsell train global equity Key Investor Information
Scroll across to see the full table.
| Annual performance growth | |||||
|---|---|---|---|---|---|
|
Apr 18 - Apr 19 |
Apr 19 - Apr 20 |
Apr 20 - Apr 21 |
Apr 21 - Apr 22 |
Apr 22 - Apr 23 |
|
| Lindsell Train UK Equity | 15.56% | -6.94% | 16.52% | -0.14% | 9.71% |
| FTSE All Share | 2.62% | -16.68% | 25.95% | 8.72% | 6.04% |
| IA UK All Companies | 1.26% | -14.76% | 30.26% | -0.13% | 1.62% |
Past performance is not a guide to the future. Source: Lipper IM to 30/04/2023.
Important notes
This article isn’t personal advice. If you’re not sure whether an investment is right for you please seek advice. If you choose to invest the value of your investment will rise and fall, so you could get back less than you put in.
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