The Munro Fund (Retail) A Accumulation Units
HL comment
Hargreaves Lansdown research covers the funds we currently highlight and the most popular funds chosen by our clients over the years. This fund does not fall into either of these categories at present.
Information from the fund manager
Please note: The information in this box has been provided by, and is issued by, the fund manager and not Hargreaves Lansdown.
HL group comment: Fundamental Tracker Investment Management Limited
Our view on this Fund Management Group as a whole
Fundamental Tracker Investment Management was established in 2006. Their investment philosophy involves using data like dividend forecasts and cash flows rather than simply the size of a company to construct a fund.
At the time of writing Fundamental Tracker only runs one fund, The Munro Fund, which tracks the FTSE 350. It invests in every FTSE 350 company that pays a dividend and uses the amount of cash a company is forecast to pay out to shareholders to determine the size of the holding in the underlying portfolio.
Using this approach the fund always has the biggest exposure to the companies paying out the most amount of money. They believe this approach should enable them to outperform traditional index trackers which focus on the size of a company to determine the exposure to individual holdings in the fund.
In essence, the firm prides itself on having a non conventional tracker process which uses dividends as the core of its approach rather than conventional factors.
12-03-2010
HL sector comment: UK All Companies
Our view on this sector
The UK market had an astonishing run in 2009. The most successful shares have been in economically sensitive sectors like mining and financials, and also many smaller companies performed well. Defensive sectors (such as utilities) have trailed behind. The huge rise in the market in 2009 is unlikely to be repeated, although markets could be chased higher by the wall of cash still waiting to be invested. Over the next year much will depend upon the ability of the UK economy to recover and the financial system to start working coherently again.
23-02-2010