About this investment trust
Capital at risk. The value of investments and the income from them can fall as well as rise and are not guaranteed. Investors may not get back the amount originally invested.
The Company aims to provide shareholders with long-term capital growth and an attractive total return by investing primarily in UK smaller companies and mid-capitalisation companies traded on the London Stock Exchange.
Why choose it?
The BlackRock Throgmorton Trust looks to back the UK’s emerging companies. An unusual feature of the Trust is its ability to ‘short’ companies that we find unattractive, enabling us to profit if the share price falls. This gives the Trust’s manager the opportunity to back investment ideas with real conviction, within a strong risk framework.
Suited to…
Investors who want a dynamically managed portfolio of growing companies but are comfortable with a limited degree of ‘short’ exposure.
Frequently Asked Questions
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The BlackRock Throgmorton Trust aims to achieve long-term capital growth along with an attractive total return for shareholders. It is a high-conviction portfolio focusing on UK emerging companies with an ability to “short” unattractive companies, providing flexibility and potential for profit. The Trust seeks differentiated, exciting firms with quality management and dominant market positions, aiming to capitalise on industry disruptors within a strong risk framework and is most suited to investors who are comfortable with a dynamically managed portfolio and limited “short” exposure. It employs a unique strategy to back investment ideas with conviction.
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Daniel Whitestone is the lead Portfolio Manager for BlackRock Throgmorton Trust. Daniel joined BlackRock in 2013, previously heading the UK small and mid-cap sales desk at UBS where he ranked first in the Extel Small/Mid-Cap sales ratings in 2011 and 2012.
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A high conviction portfolio can be described as an investment portfolio that holds a relatively concentrated number of positions, typically in a limited number of securities or assets in which the fund manager has high confidence. In other words, the fund manager believes strongly in the potential of the selected investments to outperform the market and as a result allocates a significant portion of the portfolio to those specific assets.
For BlackRock Throgmorton Trust, having a high conviction portfolio is relevant because it aligns with the Trust’s investment objective of achieving long-term capital growth through investing in smaller UK companies. By maintaining a concentrated portfolio of carefully selected securities, the fund manager aims to capitalise on what they believe to be the more promising investment opportunities within the realm of smaller UK companies.
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Investing in UK small and medium-sized companies offers potential for growth, innovation and diversification. These agile firms can capitalise on market inefficiencies, providing opportunities for superior returns. Contributing to economic growth, they may become acquisition targets, adding to their appeal for investors seeking higher-risk, higher-reward opportunities.
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The BlackRock Throgmorton Trust primarily invests in UK small and mid-market companies on the London Stock Exchange. Up to 15% of its assets may be allocated to non-UK securities. The Trust diversifies its portfolio across various sectors, which include industrials, consumer services, financials, technology, healthcare and telecommunications.
AJ Bell Online Personal Wealth Awards 2021: As at 8 March 2021.
AJ Bell Award: As at 3 September 2021.
Awards/Ratings have not been superseded to date.
Past performance is not a reliable indicator of future results and should not be the sole factor of consideration when selecting a product or strategy.
What are the risks?
- Capital at risk. The value of investments and the income from them can fall as well as rise and are not guaranteed. Investors may not get back the amount originally invested.
- Net Asset Value (NAV) performance is not the same as share price performance, and shareholders may realise returns that are lower or higher than NAV performance.
- The Trust’s investments may have low liquidity which often causes the value of these investments to be less predictable. In extreme cases, the Trust may not be able to realise the investment at the latest market price or at a price considered fair.
- Investment strategies, such as borrowing, used by the Trust can result in even larger losses suffered when the value of the underlying investments fall.
- The insolvency of any institutions providing services such as safekeeping of assets or acting as counterparty to derivatives or other instruments, may expose the Fund to financial loss.
- Derivatives may be used substantially for complex investment strategies. These include the creation of short positions where the Investment Manager artificially sells an investment it does not physically own.
- Derivatives can also be used to generate exposure to investments greater than the net asset value of the fund/investment trust. Investment Managers refer to this practice as obtaining market leverage or gearing. As a result, a small positive or negative movement in stockmarkets will have a larger impact on the value of these derivatives than owning the physical investments. The use of derivatives in this manner may have the effect of increasing the overall risk profile of the Funds.
Watch the BlackRock Throgmorton Trust plc Annual General Meeting
Date: Tuesday, 25 March 2025
Time: 12:00 PM GMT