Post New

Any holders?
Any thoughts on valuation?
Thoughts in general?

I've not held an Investment Trust before, they're rather difficult to value. Obs it's trading at a discount to NAV c20% but if you have a collection of growth companies in there (which they seem to) and a lot of "blue sky thinking" as to the future then their portfolio is particularly hard to value vs good old fashioned discounted cash flow analysis.

I'd have thought their portfolio would be more Alphabet, Meta, and Apple rather than Tesla and Nvidia? If they're an old school value orientated IT. Their portfolio is more like Cathie Woods of ARK.

"I'd have thought their portfolio would be more Alphabet, Meta, and Apple rather than Tesla and Nvidia? If they're an old school value orientated IT. Their portfolio is more like Cathie Woods of ARK."

I think they may have moved towards being ARK like over time. Before last year's correction they were one of the high-flying trusts that often got a lot of positive attention along with Fundsmith for UK investors.

The people running it believe that the companies they buy into have such long runways for growth they are less worried about valuation than other funds/ investors are.

I've also seen it mentioned somewhere they have a significant number of investments in companies that have little liquidity - not sure how big an issue this is but I recall was a problem for Woodford when things turned against him.

I watched this after posting. Answered most of my questions....

Fund manager interviews.

https://youtu.be/ojkcDNg7G6w?si=W7OUBGIEgCPS4x2s

The last paragraph of your post prob relates to their 30% of private investments.

I've since been bombarded with adverts from the trust on YouTube , that they are "investing in the future and pioneering growth investors" as you say just like ARK. All this is meaningless unless you have a handle on valuation and total returns absolutely matter.

I wonder why they shifted from traditional value to "innovation and growth" and when? perhaps jumping on a sales and marketing bandwagon....

Conclusion;

Not one I'll be investing in.

Post New

Falling Knives FAQ

---

Contact Shrewd'm
Contact the developer of these message boards.