Trustnet Magazine Issue 30 June 2017 | Page 2

EDITOR’S LETTER IN THIS ISSUE Issue 30 / June 2017 Separating investment fact from fiction UNICORN HUNTING The search for the elusive Next Big Thing WHO CARES? Funding the cost of ill health in retirement FOLLOW THE LEADER The US: Are Japan and Europe hot on its heels? ISSUE 30 CREDITS TRUSTNET MAGAZINE (FORMERLY INVESTAZINE) IS PUBLISHED BY THE TEAM BEHIND FE TRUSTNET IN SOHO, LONDON. WEBSITE: WWW.TRUSTNETDIRECT.COM EMAIL: [email protected] CONTACTS: Anthony Luzio Editor T: 0207 534 7652 O UR PREVIOUS ISSUE WAS SOMEWHAT TENTATIVE IN TONE as we sought to remind investors about the importance of not positioning your portfolio to benefit from a single outcome of the general election. This seemed likely to fall on deaf ears at the time the election was announced, with the battle between Theresa May and Jeremy Corbyn likened to the one between Margaret Thatcher and Michael Foot in 1983. However, just over a month later and with May looking more chocolate teapot than Iron Lady, it appears we can safely put “forgone conclusions” in the file marked “myths & legends” – which brings us nicely to the subject of this month’s magazine. In “Hit or myth”, Pádraig Floyd examines whether five oft-repeated investment rules of thumb contain a germ of truth or are more likely to see you lose your shirt. I look back at the careers of three investment legends to see how they made their fortune, while Daniel Lanyon indulges in a spot of “unicorn hunting” – the name given to searching for the Next Big Thing in the world of start-ups. In our regular columns, Adam Lewis’s spotlight falls on the AIC North America, Japan and Europe sectors, Artemis’ Ed Legget names three UK stocks that are ignoring the uncertainty at home and quietly increasing profits, while Coram’s James Sullivan reveals why he is buying the iShares Emerging Markets Infrastructure ETF. Finally, following all the talk of myths & legends, John Blowers will help to bring you back down to earth with an article on how to fund the cost of long-term care in retirement. 12 Enjoy reading, Art direction & design Javier Otero W: www.feedingcrows.co.uk Editorial Gary Jackson Editor (FE Trustnet) T: 0207 534 7680 Rob Langston News editor T: 0207 534 7696 Lauren Mason Senior reporter T: 0207 534 7625 Jonathan Jones Reporter T: 0207 534 7640 Anthony Luzio Editor Trustnet Magazine Sales Richard Fletcher Head of publishing sales T: 0207 534 7662 Richard Casemore Account manager T: 0207 534 7669 Photos supplied by Thinkstock and Photoshot Cover illustration: Javier Otero In association with: 24 28 HIT OR MYTH? Pádraig Floyd finds out if five oft-repeated pieces of investment wisdom are grounded in fact or fiction P. 2-5 / E-KINGS Baillie Gifford Shin Nippon’s Praveen Kumar names three Japanese e-commerce firms that aim to dominate their industry P. 6-7 / HALL OF LEGENDS Anthony Luzio reveals how three investment pioneers made their fortune P. 8-10 / UNICORN HUNTING Investors looking for the Next Big Thing in start-ups are more likely to find themselves down a dead-end, warns Daniel Lanyon P. 12-14 / FUND, PENSION, TRUST Templeton Frontier Markets, Schroder Income Maximiser and BlackRock Throgmorton are under the spotlight this month P. 16-18 / FOLLOW THE LEADER Adam Lewis finds out if Japan and Europe can replicate the performance of the US when they step off the QE treadmill P. 20-23 / WHO CARES? John Blowers looks at how to fund the cost of long-term ill-health in retirement P. 24-26 / TICKING OVER Artemis’ Ed Legget names three UK stocks that are ignoring the uncertainty and quietly increasing profits P. 28 / WHAT I BOUGHT LAST Coram’s James Sullivan says iShares Emerging Markets Infrastructure ETF fulfils a long-held desire to build up emerging markets exposure without overpaying P. 29