Neil Woodford publishes entire holdings of CF Woodford Equity Income fund‏

14th July 2014

img

Star manager Neil Woodford has gone against tradition in the world of fund management and published the entire contents of his newly launched portfolio.

While the vast majority of fund management groups only publish the top 10 holdings of any vehicle, the CF Woodford Equity Income fund has gone the whole nine-yards by allowing investors to examine all of its 61 constituents – and the percentage they represent (see table below).

The portfolio will be updated every month on the Woodford Investment Management website.

The former Invesco Perpetual fund manager says he is building a portfolio that avoids sectors and stocks that he believes are vulnerable to a faltering global economy and fund’s top 10 holdings highlight significant emphasis on the pharmaceutical and tobacco sectors.

Woodford believes that the fund’s investments within these two sectors will be resilient in the face of a general weakening economic environment – they have strong balance sheets and attractive valuations.

Right now, AstraZeneca, GlaxoSmithKline and British American Tobacco are his top three stock-picks.

The portfolio also includes several early-stage businesses, many of which are linked to scientific research emerging from universities across the UK.

Woodford says: “I strongly believe that investing in early-stage businesses can add meaningfully to the long-term performance of the fund, albeit individual positions will be small in the context of the overall portfolio.

“The UK has some of the best universities in the world, developing some of the best intellectual property. Unfortunately, as an economy, we have not had a good track record of converting these great ideas into long-term commercial success. There are many reasons for this, but the principle one is a distinct lack of access to appropriate long-term patient capital.”

Woodford asserts that this combination of great innovation and a lack of capital has created some very exciting investment opportunities, “which the fund is seeking to take advantage of via a portfolio of early stage investments”.

The CF Woodford Equity Income fund, launched on 2 June 2014, and raised a record breaking £1.6bn. Previously Woodford managed the Invesco Perpetual Income and High Income funds. The latter portfolio fund, which he ran for more than 25 years, was the best performing fund in the equity income sector under his management, turning a £10,000 investment into £230,000.

CF WOODFORD EQUITY INCOME FUND PORTFOLIO (AS AT 30 JUNE 2014)

NAME  %
1 AstraZeneca Health Care 8.30
2 GlaxoSmithKline Health Care 7.11
3 British American Tobacco Consumer Goods 6.20
4 BT Telecommunications 6.02
5 Imperial Tobacco Consumer Goods 5.31
6 Roche Health Care 3.90
7 Imperial Innovations Financials 3.60
8 Reynolds American Consumer Goods 3.55
9 Rolls-Royce Industrials 3.47
10 Capita Industrials 3.36
11 Allied Minds Financials 2.93
12 BAe Systems Industrials 2.91
13 HSBC Financials 2.79
14 Sanofi Health Care 2.34
15 Legal & General Financials 2.09
16 Novartis Health Care 2.01
17 Centrica Utilities 1.98
18 AA Consumer Services 1.87
19 SSE Utilities 1.85
20 Reckitt Benckiser Consumer Goods 1.83
21 Philip Morris International Consumer Goods 1.81
22 Prothena Health Care 1.72
23 Next Consumer Services 1.68
24 Altria Consumer Goods 1.30
25 Smith & Nephew Health Care 1.27
26 BTG Health Care 1.22
27 Provident Financial Financials 1.13
28 Drax Utilities 1.11
29 Alkermes Health Care 1.04
30 Gagfah Financials 1.02
31 G4S Industrials 0.97
32 RM2 International Industrials 0.93
33 Redde Financials 0.90
34 Utilitywise Industrials 0.62
35 Serco Industrials 0.59
36 Meggitt Industrials 0.59
37 Lancashire Financials 0.58
38 Velocys Oil & Gas 0.55
39 e-Therapeutics Health Care 0.54
40 Vernalis Health Care 0.49
41 ReNeuron Health Care 0.48
42 Cobham Industrials 0.48
43 Burford Capital Financials 0.44
44 Catlin Financials 0.43
45 Benchmark Health Care 0.43
46 Amlin Financials 0.43
47 4D Pharma Health Care 0.43
48 Oxford Pharmascience Health Care 0.35
49 Revolymer Basic Materials 0.31
50 Hiscox Financials 0.31
51 Beazley Financials 0.29
52 Gigaclear Telecommunications 0.29
53 Paypoint Industrials 0.25
54 Homeserve Industrials 0.09
55 Retroscreen Virology Health Care 0.09
56 Xeros Industrials 0.07
57 NetScientific Health Care 0.05
58 IP Financials 0.04
59 Circassia Health Care 0.03
60 Stobart Industrials 0.03
61 Cranswick Consumer Goods 0.01

 

4 thoughts on “Neil Woodford publishes entire holdings of CF Woodford Equity Income fund‏”

  1. davethinks says:

    15% tobacco is this healthy or ethical?

  2. Loss D Lot says:

    Tobacco isn’t healthy. Is it ethical to invest in it ? Once you start that discussion, where does it stop. Is it a bona fide industry, and do the people who use its products have a choice. If that’s a yes, its more than likely to be ethical. In my opinion.

    1. Antony Gaffney says:

      It should stop with tobacco-companies that are knowingly killing their addicts/customers

      1. Loss D Lot says:

        Yes. Easy Squeezy Peezy to take That line. Altruistic and simple. Sadly the Real world does not exists on that basis.
        Where does addicts responsibility for their own actions start and end. In a perfect world there would be no addicts and no drug companies of any persuasion.. Just got to get there !

Leave a Reply

Your email address will not be published. Required fields are marked *