TRUST WATCH: Finsbury Growth and Income Trust aims to offer investors capital and income growth which beats the FTSE All Share index

By CITY & FINANCE REPORTER FOR THE DAILY MAIL

Updated:

The trust is managed by star stock picker Nick Train’s firm, Lindsell Train

The trust is managed by star stock picker Nick Train’s firm, Lindsell Train

 What is it?

The Finsbury Growth & Income Trust is managed by star stock picker Nick Train’s firm, Lindsell Train.

It aims to offer investors capital and income growth which beats the FTSE All-Share index.

What does it invest in?

Primarily UK-based companies that are considered defensive stocks. Some of its holdings include consumer goods groups Diageo, Unilever and AG Barr.

William Sobczak, of Kepler Trust Intelligence, says the trust has tended to outperform its peers and more than doubled the returns of the FTSE All-Share index in the five years to March

William Sobczak, of Kepler Trust Intelligence, says the trust has tended to outperform its peers and more than doubled the returns of the FTSE All-Share index in the five years to March

Train seeks out stocks that he believes are undervalued and holds them for the long term, regardless of their short-term performance.

What do the experts like?

William Sobczak, of Kepler Trust Intelligence, says the trust has tended to outperform its peers and more than doubled the returns of the FTSE All-Share index in the five years to March.

Its returns over the longer term have been equally as strong, he adds – it has beaten the markets in nine of the past ten years.

Any downsides?

It is slightly pricier than average. Its fees stand at 0.7 per cent, above the 0.6 per cent weighted average for UK equity income trusts.

Over ten years that could cost savers with a £10,000 nest egg more than £100.

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