Four funds that helped power our portfolios to all-time highs

Saltydog names the funds held for most of 2020, which have served its model portfolios well.

It has been a difficult year heavily influenced by the Covid-19 pandemic that has forced the world into lockdown.

In the UK, we are now seeing large areas of the country facing tighter restrictions, just when we thought that we might be able to let them slip a little over Christmas.

UK investors have also had a tough time, especially people focusing on the UK markets. The FTSE 100 and FTSE 250 both collapsed at the end of February, along with stock markets around the world, and they still have not fully recovered.

By avoiding the worst of the fall, and yet getting the benefit of the subsequent recovery, our demonstration portfolios have started this week at all-time highs. So far this year, the Tugboat is up 9.0% and the Ocean Liner is up 11.0%

During the year we have swapped funds and moved from sector to sector as market conditions have varied, however there are a few funds that we have held for most of the year, and they all come from the Mixed Investment 40-85% Shares sector.

At the beginning of the year, both portfolios held the Liontrust Sustainable Future Managed, Janus Henderson Institutional Global Responsible Managed, and Royal London Sustainable World funds, having first gone into them in February 2019.

We sold them at the end of February/beginning of March 2020, along with most of the other funds that we were holding.

When we started reinvesting in April, they were the first funds that we went back into. In July, we added the Baillie Gifford Managed, which has outperformed the other three in recent months.

Our holdings in these funds currently make up 48% of the Tugboat portfolio and 43% of Ocean Liner.

They regularly appear in our performance tables highlighting the leading funds and have served us well over the last couple of years. It will be interesting to see if the trend continues.

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