We often talk about finding a work-life balance and that’s a nice way to think about this fund, too. If you want to aim for higher growth than the cautious portfolio, but you’re not really an aggressive investor, the balanced fund seeks to achieve an equilibrium.
In the balanced fund, we aim to grow your money over the long term. At the same time, we don’t want you to lose sleep if the stock market tumbles, so we’ll strive to build a portfolio with lower volatility than equities†.
Delivering excellent returns is not just a case of making gains when the market does well. If you can also lose less when the market falls, you increase your chances of coming out ahead over the medium to long term. And by striking a sensible balance between different types of assets, that's exactly what w'll try to do in this fund.
As the name suggests, we will hold diverse, yet complementary, funds in this portfolio. These funds may contain UK and overseas equities, bonds, property, gold, targeted absolute return strategies and other investments. The target equity weighting is 50%-70%, but we will vary the mix of sectors, assets and investing styles over time to suit different market conditions.
We believe in transparency, so you can see a full list of what the VT Chelsea Managed Balanced Growth fund invests in below.
|Holding||% in fund||Asset class|
|Fidelity Index US||6.03||Equities|
|Merian Global Equity Absolute Return||5.44||Absolute Return|
|Artemis Global Income||5.16||Equities|
|Fidelity Global Special Situations||4.92||Equities|
|Man GLG UK Absolute Value||4.90||Absolute Return|
|Hermes Asia ex Japan Equity||4.06||Equities|
|JOHCM UK Dynamic||4.05||Equities|
|Investec Global Special Situations||3.93||Equities|
|Target Healthcare REIT Ltd||3.82||Property|
|RWC Global Emerging Markets||3.61||Equities|
|Franklin UK Managers' Focus||3.36||Equities|
|Smithson Investment Trust||3.17||Equities|
|Janus Henderson UK Absolute Return||3.14||Absolute Return|
|BMO Global Equity Market Neutral||3.09||Absolute Return|
|Merian Gold & Silver||2.88||Gold & Silver|
|Royal London Short Duration Global High Yield Bond||2.86||Fixed Income|
|Jupiter Absolute Return||2.78||Absolute Return|
|Man GLG Japan CoreAlpha Professional||2.65||Equities|
|John Laing Environmental Assets Group Ltd||2.52||Alternatives|
|Invesco European Equity||2.51||Equities|
|Baillie Gifford Japanese||2.45||Equities|
|Foresight Solar Fund Ltd||2.40||Alternatives|
|Goldman Sachs India Equity Portfolio||2.05||Equities|
|Sequoia Economic Infrastructure Income Fund Ltd||2.01||Fixed Income|
|RWC Continental Europe Growth||1.95||Fixed Income|
|H2O MultiReturns||1.90||Absolute Return|
|Merian Chrysalis Investment Co Ltd||1.10||Equities|
Information correct as at 30 November 2018. Please note percentages may not add up to 100% exactly due to round errors
It’s important to understand investments can go down as well as up in value. You may not get back the amount originally invested.
†Long term is 5+ years. The aim is to have lower volatility than global equities over a rolling 5-year period.
*Source of all performance data: FE Analytics on a bid-to-bid basis total return to 30/11/18, benchmark is the IA Mixed Investment 40-85% Shares
The VT Chelsea Managed Funds are for investors who prefer to make their own investment decisions, without personal advice.
Valu-Trac Investment Management Limited is the authorised corporate director (ACD) and investment manager of the VT Chelsea Managed Funds. Valu-Trac is authorised and regulated by the Financial Conduct Authority (FCA). Valu-Trac’s FCA registration is 145168. Chelsea Portfolio Management Services Limited will be the investment adviser for the VT Chelsea Managed Funds.