F & C Investments

Foreign & Colonial Investment Trust

  • Strong track record of success

  • How to Invest

    Open an F&C Savings Plan

    Call: 0800 136 420

    Invest online now

    Or contact your usual investment broker

  • Performance

    These tables show you how the fund has performed over the last five years.  The fund has achieved positive growth over these periods, but please remember that past performance is not a guide to future results and the value of investments can go down as well as up.

    We've provided some useful definitions below the tables to help with interpreting the performance figures.

  • Fund performance

    Foreign & Colonial Investment Trust - performance chart

    Performance (%) as at 31.08.16

    Cumulative performance 1 month Year to date 1 Year 3 Years 5 Years
    NAV 2.16 15.68 22.41 45.37 90.74
    Share price 3.38 12.96 18.66 48.42 94.06
    Benchmark 1.73 19.72 26.69 46.31 92.52
    Discrete annual performance 2016/2015 2015/2014 2014/2013 2013/2012 2012/2011
    NAV 22.41 7.15 10.84 19.44 9.86
    Share price 18.66 12.43 11.26 21.15 7.93
    Benchmark 26.69 1.90 13.33 19.44 10.17

    Source: Lipper. Basis: share price, percentage growth, bid to bid, net income reinvested. Basis in accordance to the regulations of the Financial Conduct Authority. The discrete annual performance table refers to 12 month periods, ending at the date shown. The cumulative performance table refers to cumulative periods ending 31.08.2016

  • Useful definitions

    NAV - Net Asset Value. This is the value of the fund's assets (e.g. investments, stocks, shares, bonds) less its liabilities (i.e. costs that need to be paid out of the value of the fund)
    Benchmark: The FTSE All-World (Total Return) Index


  • Fund facts
    Investment manager F&C Investment Business Limited
    Benchmark FTSE All World TR index (Pre 01/01/2013 60% FTSE World ex UK TR Index/40% FTSE All Share TR Index).
    AIC sector Global
    Launch date 1868
    Total assets £3.3 billion (as at 31.08.2016)
    Currency Sterling
    ISIN GB0003466074
    SEDOL 346607
    Ticker symbol FRCL
    Key dates
    Annual general meeting Tuesday 26 April 2016 at 12 noon
    Year end 31 December
    Dividend payment date(s) February, May, August, November
    Announcement dates Final results - Tuesday 8 March 2016
    Half year results - Thursday 28 July 2016
  • Fund Manager commentary

    August was a quiet month with most developed market equity indices, currencies and major government bond yields trading in narrow ranges and broadly unchanged over the month. Emerging markets fared well and European banks rose 9% on the month (though they remain depressed on a year-to-date basis).  Oil rallied on hopes that OPEC would agree to restrict production. A series of speakers from the US Federal Open Market Committee (FOMC) tried to liven things up with talk of imminent interest rate hikes but prospective tightening in US monetary policy stands in sharp contrast to the situation in most of the rest of the world. In Europe, economic data have generally surpassed expectations and the currency zone appears to have shrugged off the impact of Brexit. The problem is that inflation refuses to rise towards the 2% target. The Bank of Japan faces similar problems except that growth and inflation are lower. For the European Central Bank and the Bank of Japan, the question is not, if but when, and how they ease policy further.

    Investor sentiment is notoriously fickle but, for those attempting to navigate global markets, 2016 has seen marked swings in risk appetite. US recessionary concerns dominated in the early party the year but these fears quickly subsided. Since the accompanying nadir in February, equity markets have been buoyed by surprisingly strong upward surprises to economic expectations. These signs of cyclical recovery, coming after depressed expectations on fears of US recession, have been linked with a marked rebound in economically sensitive areas within the equity market. Indeed, materials, energy and industrial stocks have led the way in developed equities since the February lows and emerging equities have produced strong absolute gains, partially reversing their long term downtrend in relative performance.

    What is curious about the recent market moves is just how disconnected government bond yields seems to have become from economic surprises as well as from some of the moves seen in equity markets. Falling government bond yields would not typically be expected to occur at a time when cyclical sentiment is improving and growth is surprising positive. Furthermore, some of the classic bond proxies within equity markets have been underperforming at the same time as bond yields have been declining. Utilities, for example, are bottom of the pile in returns within developed equities since the February low was set.

    So, investors in equities may be focused on positive cyclical news flow to guide their sectoral preferences towards economically sensitive areas while government bond investors (who may be increasingly price insensitive) continue to focus on longer term growth and inflation concerns – ‘secular stagnation’. An alternative explanation is that investors in equities recognise the positive repricing of cyclical news flow but, just as importantly, recognise that the margin of safety in valuation of bond proxies has become uncomfortably low. Economic momentum seems to have begun to roll over once again, however, so some of the narrative on cyclical improvement has diminished. Nonetheless, a value ‘revolt’ within equity markets indicates the risks of chasing yield at any price. Bond investors should take note.

    We have made some new recent commitments to private equity funds as our existing exposure matures and continues to generate high levels of cashflow. Equity markets have benefited from an improvement in growth expectations globally and by a pushing out of rate rise expectations in the US. Nonetheless, underlying corporate earnings are growing only modestly and valuations of equities and other ‘risk assets’ are being bid up in response to easy policy. We maintain modest gearing on the Trust and continue to run a range of diversified underlying stock selection strategies and believe that we remain well placed to withstand any further short term volatility in markets.

  • The value of shares and the income from them is not guaranteed and can fall as well as rise due to stock market movements. Past performance is not a guide to future performance. When you sell your shares, you might get back less than you originally invested. If markets fall, gearing can magnify the negative impact on performance. Changes in rates of exchange may have an adverse effect on the value, price or income of investments. Emerging Markets, Unquoted Companies and Smaller companies carry a higher degree of risk and their value can be more sensitive to market movement; their shares may be less liquid and performance may be more volatile. The fund may invest in hedge funds or private equity funds which are not normally available to individual investors, exposing the fund to the performance, liquidity and valuation issues of these funds. Such funds typically have high minimum investment levels and may restrict or suspend redemptions or repayment to investors. The asset value of these shares and its prospects may be more difficult to assess.

  • Share price

    500.50p-1.50p

    27 September 2016

  • Paul Niven

    Paul Niven

    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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