Jupiter UK Growth Investment Trust

Recovery potential for UK equities

13 May 2019

Jupiter UK Growth Investment Trust (JUKG) aims to generate long-term capital growth, primarily through investing in UK-listed equities. The fund manager, Steve Davies, follows a detailed and fundamental approach to find companies with growth or recovery potential. Unconstrained by benchmark considerations, he is not afraid of being contrarian, and his approach is patient and highly selective. The portfolio consists of just 30–35 holdings and is very different from the FTSE All-Share index, therefore, short- and medium-term performance can diverge from the benchmark. The trust’s NAV total return performance has lagged the benchmark over the past one and three years. This partly reflects JUKG’s significant holdings in UK domestic stocks, which have been very out of favour with investors, but where the manager finds compelling long-term value. MORE »

Depressed UK equities may present opportunities

30 October 2018

Jupiter UK Growth Investment Trust (JUKG) aims to deliver long-term capital appreciation, primarily through investing in UK equities. The fund has few constraints against the benchmark, and the manager, Steve Davies, is highly selective in his bottom-up approach, investing in 30–35 companies with recovery or growth potential. The portfolio and its performance can therefore diverge significantly from the FTSE All-Share index. Davies believes UK equities are currently unloved, and investors are excessively pessimistic and focused on the short-term outlook. While he expects the UK market to remain out of favour over the near term, as a natural contrarian investor with a long-term horizon, he says he is finding exciting investment opportunities. MORE »

Rigorous, long-term approach to stock-picking

14 May 2018

Jupiter UK Growth Investment Trust (JUKG) aims to generate long-term capital growth, primarily through investing in UK-listed equities. With few investment constraints, the manager, Steve Davies focuses on fundamental stock selection to build a concentrated portfolio of around 35 investments. Active engagement with companies’ chairmen and non-executive directors is a key part of the investment process, and contributes significantly towards the manager’s level of conviction. Davies believes stock-market drivers are changing as several big investment themes come to an end. He expects stock-picking to come back into focus and JUKG should be well-placed in this environment. On 30 November, the rollover of Jupiter Dividend & Growth Trust (JDG) into JUKG resulted in an increase in assets of £24.6m and the issue of 7.8m new shares. MORE »

Rigorous, long-term approach to stock-picking

14 May 2018

Jupiter UK Growth Investment Trust (JUKG) aims to generate long-term capital growth, primarily through investing in UK-listed equities. With few investment constraints, the manager, Steve Davies focuses on fundamental stock selection to build a concentrated portfolio of around 35 investments. Active engagement with companies’ chairmen and non-executive directors is a key part of the investment process, and contributes significantly towards the manager’s level of conviction. Davies believes stock-market drivers are changing as several big investment themes come to an end. He expects stock-picking to come back into focus and JUKG should be well-placed in this environment. On 30 November, the rollover of Jupiter Dividend & Growth Trust (JDG) into JUKG resulted in an increase in assets of £24.6m and the issue of 7.8m new shares. MORE »

Concentrated UK growth portfolio

13 October 2017

Jupiter UK Growth Investment Trust (JUKG) aims to deliver long-term capital growth from investing predominantly in UK equities. Its approach is bottom-up, long-term and contrarian, with relatively few constraints against the benchmark. The result is a concentrated portfolio of c 35 high-conviction stocks that is significantly different from the index. JUKG is notably overweight UK domestically-focused companies and holds no stocks in the oil & gas and utilities sectors. JUKG’s manager believes there are many mispriced opportunities in the current uncertain macro environment, which is well-suited to his contrarian style. MORE »

High-conviction investment in UK equities

6 March 2017

Jupiter UK Growth Investment Trust (JUKG) aims to generate long-term capital growth from a concentrated portfolio of predominantly UK equities. Manager Steve Davies runs the portfolio with the same contrarian, high-conviction approach as the much larger, well-established Jupiter UK Growth unit trust. He is “genuinely excited” about JUKG’s current portfolio, which he believes gives him the opportunity to make good the relative underperformance versus the FTSE All-Share benchmark following the Brexit vote. Davies is unconstrained by the benchmark; he currently has zero weightings in the oil & gas and utilities sectors. MORE »

Concentrated, high-conviction growth portfolio

15 June 2016

Jupiter UK Growth Trust (JUKG) adopted its new strategy, name and manager in April 2016, having previously been a global portfolio. Manager Steve Davies has built a successful track record on the Jupiter UK Growth unit trust and brings to JUKG the same contrarian, high-conviction, thematic and concentrated approach. Davies invests for capital appreciation in a mix of secular growth (c 65%) and recovery (c 35%) stocks. While tilted to larger companies, most of the biggest FTSE 100 stocks are absent from the portfolio and the unconstrained approach means weightings diverge widely from the FTSE All-Share index benchmark, from a 12.3% overweight in general retailers to zero weights in oil & gas and utilities, as well as c 8% in non-UK stocks. There is a zero-discount management policy and the board views the investment strategy as highly scalable. MORE »