F & C Investments

European Assets Trust

  • Investing with real conviction

  • How to Invest

    Open an F&C Savings Plan

    Call: 0800 136 420

    Invest online now

    Or contact your usual investment broker

  • Key facts

    Europe is home to a wide range of small and medium sized companies - a diverse opportunity set that includes fast growing world-leaders, innovative niche specialists and high quality sustainable businesses. The portfolio contains what the manager believes to be the very best investment opportunities from across the region with a clear emphasis on well-managed, strong businesses whose real potential isn’t yet reflected in their share price. As well as the superior growth potential inherent in small and medium sized companies, the trust has historically offered an attractive income of 6%1 per annum.

    Highlights

    • Access an often overlooked asset class
    • Small and mid-cap focus
    • High conviction portfolio of 40-60 investment ideas

    Suitability for retail distribution

    The Company’s shares are excluded from the FCA's restrictions which apply to non-mainstream products as the Company's portfolio is wholly or predominantly made up of shares, debentures or government and public securities which are not themselves issued by other investment funds. The Company conducts its affairs so that its shares can be recommended by Financial Advisers to ordinary retail investors in accordance with the Financial Conduct Authority's rules relating to non-mainstream investment products and intends to continue to do so.

  • Fund manager commentary

    Continued strong economic data in Europe helped override investor concerns over imminent elections in the region as European equity markets delivered another strong month. February also saw the start of the full year earnings season which helped provide further support to stocks confirming that the outlook for profits in Europe is encouraging. Our portfolio outperformed the benchmark over the month.

    Our best performer in February was Glanbia the international nutrition business, rising +18.1% in euro terms. The full year results confirmed encouraging progress, but the main reason for the share price move was the news that they were exiting their Irish dairy processing business. Glanbia has successfully transitioned from a relatively capital intensive dairy business to a global nutrition business delivering better growth at higher margins. The exit from Irish dairy helps complete this transition.

    Our other standout performer was the French software and hardware business Lectra which rose 16.9% after releasing positive full year results and a positive updated outlook for the next three years. Strong sales into the automotive space and improving profitability were reassuring whilst the company highlighted a number of future growth opportunities.

    Our biggest detractor from performance was Amer Sports, the Finnish sporting goods business with strong brands in skiing (Atomic, Salomon), tennis (Wilson), mountaineering (Arcteryx) and cycling (Mavic). The full year results release was disappointing with a particularly weak fourth quarter, with the most challenging aspect a poor reception to the release of its new range of Suunto GPS watches. We do however believe that the majority of the disappointing operational performance was transitory and will continue to hold the position.

    As at 28 February 2017

  • Fund facts
    Investment manager F&C Investment Business Limited
    Benchmark Euromoney Smaller European Companies (ex-UK) Index
    AIC2 sector European Smaller Companies
    Launch date 1972
    Total assets £374.9 million (as at 31.01.2017)
    ISIN NL0000226090
    SEDOL 322566
    Currency Euros
    Ticker Symbol EAT.L
    Key dates
    Annual general meeting 10 May 2016
    Shareholders' and Investors' Briefing 11 May 2016                                      
    Year end 31 December
    Dividend payment date(s) January, May and August
    Ex-dividend date(s) January, May and August

     

    1Calculated with reference to December 31 net asset value with dividend payments made in January, May and August of each year.

     2Association of Investment Companies

  • Share price

    1140.00p10.00p

    24 March 2017

  • Sam Cosh

    Sam Cosh

    Fund Manager

Past performance is not a guide to future results. The value of investments can go down as well as up.

The shares of the Company are listed on the London Stock Exchange. Information in this section of the website concerning the Company is directed solely at persons who are located in the UK. Nothing on this website is, or is intended to be, an offer, advice, or an invitation, to buy or sell any investments. Potential investors must read our full terms and conditions before proceeding further with any investment product referred to on this website. The information on this website may not be suitable for everyone, and retail investors unsure whether an investment product referenced on this website will meet their individual needs should seek advice before proceeding further with such product.

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