23rd July 2010
23 July 2010
Henderson's Stephen Peak has recently made BP the top holding in his £288m UK Alpha fund. The whole position has been built from scratch in the last six weeks.
Investment Week also report that he has initiated a 5.5% weighting in his long/short UK Opportunities fund.
Earlier in the year BP's shares had been trading in excess of 600 pence, but at one stage the news of the oil spill saw them dip as low as 296p. This morning they were back up around the £4 mark.
According to Investment Week, Peak first bought into the stock at 420p, but continued to add to the holding all the way down below £3. "This kind of discount is rarely available in mega-cap stocks and we have made it our largest holding in the UK Alpha fund and a top holding in the UK Opps," he said.
It is very tempting to try and copy the experts to benefit from their know-how, but the safest way to do this is to buy into their funds.
Citywire's Philip Haddon has learnt his lesson the hard way.
Investors who owned BP at the time of the spill have lost a lot of money. The man in the firing line is the company's chief executive Tony Hayward, so it is not surprising that a story in the Guardian that he is ‘set to step down' has provoked a flurry of tweets.
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