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CONTENTS
ARTICLES
Witan – It’s a global investment trust, with a difference! Common sense
suggests that no single fund manager or fund management group is likely to be
best in all sectors at all times. So a multi-manager approach can make sense,
according to Andrew Bell – and he’s got the numbers to prove it ................................... 4
Scottish Mortgage Investment Trust Going for global growth is best
achieved by ignoring short-term stock market noise and identifying long term
trends, according to James Anderson.......................................................................................... 6
Regular savings and investment trusts Here’s a simple and effective way
to smooth out stock market volatility and make compound interest work in your
favour. Simon Crinage of J.P. Morgan explains why time and patience are the
secret to building a successful portfolio ....................................................................................10
REGULAR ITEMS
Editor’s comment................................. 8
Aberdeen’s North American Equity Outlook 2014 After 50% gains by
major American stock market indices, the easy gains have been made and
shrewd stock selection will be needed to maintain progress ................................................... 12
Analysis.................................................. 20
The Merchants Trust Tried and tested investment returns over more than
a century are reviewed by Simon Gergel as The Merchants Trust celebrates
its 125th anniversary ........................................................................................................................... 16
Master class...........................................26
Positioned for a maturing business cycle Schroders asset allocation
Video lounge.........................................32
strategy for all seasons should minimise risks and maximise returns whether
the economy is recovering, expanding, slowing down or in recession .......................... 18
My View.................................................. 14
In search of hidden gems Tragic events in the Ukraine should not obscure
potential opportunities in Eastern Europe. Despite past and present difficulties in
the region, BlackRock’s Sam Vecht and David Reid argue that investors willing to
accept higher risks may enjoy higher returns in Europe’s emerging markets...........22
Dividend power houses Income-seeking investors and those concerned with
total returns should carefully consider important advantages investment trusts
enjoy over unit trusts. Martin Currie’s Alan Porter and Tom Walker examine how
dividends retained in good years can top-up payouts in bad years .......................... 24
Is now the time to go back to China? Slower growth rates in the world’s
second-biggest economy have depressed many Chinese share prices. But Fidelity’s
Dale Nicholls reports that the changing emphasis from exports to domestic
consumption will create buying opportunities for the brave ............................................ 28
Pockets of value, but vigilance required Talk of a “triple dip recession”
left pessimists looking foolish after the UK stock market delivered better than
expected returns last year. Invesco’s Mark Barnett reckons pharmaceutical
and tobacco stocks ontinue to offer good value .................................................................. 30
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