The Jupiter European Opportunities investment trust should provide the ideal vehicle for Alex Darwal...
The Jupiter European Opportunities investment trust should provide the ideal vehicle for Alex Darwall's fund management style, according to Nick Greenwood, head of investment trusts at Christows.
Greenwood believes the portfolio gives Darwall the flexibility to be able to use an approach which he involves some "quite punchy bets in individual stocks."
Greenwood said: "Darwall is a great stockpicker, he has a talent for finding quite obscure individual companies which have the right business plan to perform extremely well.
Aberdeen's new European Growth & Income Trust, managed by Adrian Fowler, raised just over £30m in shares rolled over from the recently rolled up Jupiter European split cap investment trust, managed by Darwall.
Greenwood said: "When comparing the two it is important to note that these are two very different animals. The Aberdeen trust suits institutional investors who want exposure to Europe. Historically split caps have focused on the UK so there is a big demand for this type of trust
"Darwall's new trust will not keep to the benchmark, he tends to follow his instincts and his assessment of the individual companies themselves. Fowler on the other hand tends to work on a benchmark plus basis. That is to say he is not an index tracker but he will stick to the benchmark unless he has a view on a particular stock."
Greenwood believes the fixed interest side of the Aberdeen portfolio, in particular the bonds element managed by Paul Reed, is facing a difficult market. He said: "Bonds have fallen a long way recently which has caused a very volatile market."
Partner Insight Video: Advisers have had to adapt to the changing investment landscape.
Investment trust savings scheme