F & C Investments

F&C Global Smaller Companies

  • Reaching or high growth globally

  • How to Invest

    Open an F&C Savings Plan

    Call: 0800 136 420

    Invest online now

    Or contact your usual investment broker

  • Key facts

    The Trust seeks to exploit the investment potential of smaller companies listed on the world’s stock markets. Many smaller companies are not widely researched, opening up the potential for our detailed fundamental analysis to identify valuation anomalies. The inherent ability of smaller enterprises to grow faster than more mature, larger companies, is also positive for the long-term outlook.

    Highlights:

    • The largest specialist global smaller companies investment trust
    • An attractive investible universe of stocks to choose from
    • Strong track record in both absolute and relative to Benchmark terms
    • Low ongoing Charges in comparison to other funds

    Suitability for retail distribution

    The Company notes the changes to the Financial Conduct Authority’s rules relating to the restrictions on the retail distribution of unregulated collective investment schemes and close substitutes, which came into effect on 1 January 2014. The Company is an investment trust and therefore its Ordinary Shares are not subject to these restrictions. The Company conducts its affairs so that its Ordinary 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

    Equity markets made a broadly positive start to 2017 in January, helped by generally upbeat economic data releases across the major markets. The better data has also been evident in improving corporate earnings momentum in some of the more cyclical stocks and within the financial sectors. Reversing the trend from last year, sterling rose against the dollar. Currency movements served to hold the NAV back and this lagged a small rise in the overall benchmark index during the month.

    At the stock selection level, this was a generally positive month. In the UK, our portfolio beat the local small cap market, with Sirius Real Estate, the German light industrial and office real estate company doing well as the company confirmed plans to move to a full listing. Other winners included emerging estate agent business Purplebricks and Fevertree Drinks. The former’s business appears to be growing strongly as it takes share from conventional agents, while the latter was strong as management once again upgraded sales and profits expectations. Pharmaceutical services business Clinigen was also strong following a good update and carpets business Victoria advanced as it made a further acquisition and hosted a visit for analysts.

    Our European portfolio also made a good start to 2017, with Italian industrial Interpump benefiting from broker upgrades. The company is hopefully well placed to benefit from increased US infrastructure spending as and when this materialises. Storebrand, the Norwegian life insurer rose as Scandinavian bond yields went higher, and Sparebank and Ringjoebing Landbobank were also both strong as sentiment towards banks continued to improve. CTT, the Portuguese postal operator was down however, as mail and parcel volumes disappointed the market.

    In the US, we slightly lagged the Russell 2000 index. Two of our holdings involved in the agricultural sector (The Andersons and American Vanguard) were undermined by concerns surrounding the new administration’s trade policies. Franklin Financial Network announced weak results, negatively impacting its share price. More positively, the board of Clubcorp Holdings, an owner of golf and country clubs, announced that it was considering its strategic options, leading to hopes of a takeover. GoPro shares rose as a large shareholder increased its holding in the consumer electronics company.

    Both of our Japanese fund holdings performed well compared to the local market in January, while our holdings in Asian funds managed by Manulife and Pinebridge were also strong in the month. Sentiment towards Asia appears to have stabilised for now ahead of further clarification on US trade policy and the outlook for US interest rates.

    As at 31 January 2017

  • Fund facts
    Investment manager F&C Investment Business Limited
    Benchmark 30% Numis UK Smaller Companies (excluding investment companies) Index / 70% MSCI all country World ex UK Small Cap Index
    AIC sector Global Growth
    Launch date 1889
    Total assets £732.1 million (as at 31.01.2017)
    Currency Sterling
    ISIN GB0000175058
    SEDOL 0017505
    Key dates
    Annual general meeting July
    Year end 30 April
    Dividends paid August and January
    Results announced  June (final)
    December (half yearly)
  • Peter Ewins

    Peter Ewins

    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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