Page 17 - DIY Investor Magazine | Issue 29

‘A COMPELLING, ROUNDED LONG-TERM INVESTMENT PACKAGE’
One of the thrivers identified by Matthew is Redrow, one of the largest housebuilders in the UK. The housing market was hit hard in the first lockdown, as sales all but ground to a halt.
However, Matthew added to Brunner’s position in Redrow on the basis that it has been well-run for several years and has proved itself adaptable and resilient in the past.
This assessment was proved correct when in the latter half of 2020, the housing market recovered rapidly, boosted by the shifting desires of home-owners and the government’s support for the housing market.
Another company that reflects the trust’s investment approach is luxury goods conglomerate LVMH. Matthew bought LVMH as a direct substitution for another luxury goods group Richemont, reflecting his focus on finding the very best operators in markets experiencing overall positive trends.
LVMH and other luxury groups were hit hard as the work from home mantra impacted expectations for luxury fashion and high-end alcohol markets, among others.
Matthew believed that the company had been excessively punished by the market, as it is well-diversified and less dependent on hard luxury than its peers.
That intuition has been proved correct, with sales recovering strongly and the company’s stock price rising by over 60% since he made his initial purchase.
ONE STOP SHOP
Alongside its growth mandate, Brunner explicitly aims
to provide investors with a reliable, growing income, a commitment which has contributed to the trust raising its dividend for 49 consecutive years.
This dividend track record combines with the trust’s overall focus on quality growth in the portfolio to provide investors with a compelling, rounded long-term investment package.
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Select The Brunner Investment Trust PLC – GB0001490001
Brunner Investment Trust is a client of Kepler Trust Intelligence. Material produced by Kepler Trust Intelligence should be considered as factual information only and not an indication as to the desirability or appropriateness of investing in the security discussed. Kepler Partners LLP is a limited liability partnership registered in England and Wales at 9/10 Savile Row, London W1S 3PF with registered number OC334771. Full terms and conditions can be found on www.trustintelligence.co.uk/investor
17 DIY Investor Magazine | Jun 2021