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Market and currency fluctuations can cause the value of an investment and the income it generates to fall or grow, and you may not get back the whole amount you invested. Before investing, potential investors should read the most recent annual report and, where applicable, the key investor information document. Read further to know all you should about bankers investment trust share price PLC

The Bankers Investment Trust

With no fixed limits on specific nation or sector exposures, the Bankers Investment Trust can invest in any geographic region and any sector. To seek acceptable possibilities, the Manager typically uses a bottom-up stock-picking investment process across six regional portfolios. While each regional portfolio manager has a unique approach to investing. They all prioritise cash production and dividend growth in the medium term.

The Company can invest up to 15% of its gross assets in other investment companies. But it usually does not (including listed investment trusts).

The Company can borrow up to 20% of its net assets at the time of drawdown in order to make additional investments with the goal of earning a higher return than the cost of borrowing.


Having launched in 1888, The Bankers Investment Trust PLC (BNKR) is one of the UK’s oldest investment companies. It seeks to achieve capital and income growth by investing in a diverse portfolio of global equities.

BNKR has been managed by Alex Crooke, who is also the co-head of equities at Janus Henderson Investors, since 2003. He is in charge of the trust’s geographical allocation and amount of gearing, in collaboration with the board. The trust is a member of the Association of Investment Companies’ Global sector and assesses its performance against a broad index of global developed markets. BNKR has a twin goal in the long run: to outperform its benchmark index in terms of capital growth and to outperform the rate of UK CPI inflation in terms of dividend growth.

Bankers Investment Trust Performance

In absolute terms, Bankers Investment Trust PLC has a strong track record, with a net asset value (NAV) total return of well over 20% in the year ended June 30, 2023, and annualised returns of 12–16 percent on a share price and NAV basis over three, five, and ten years. However, it has recently underperformed the global equity market. Hence, its benchmark is partially due to the structural underweight of the United States. Where the main S&P 500 Index continues to push to new highs. The first half of 2023, which ended on April 30th, was marked by a global market shift towards more value and cyclical stocks.

According to Crooke, the UK and Pacific (excluding Japan and China) portfolios outperformed local indices due to their value and income orientations. The more growth-oriented US, European, and Japanese portfolios underperformed their local benchmarks. In absolute terms, the return on China ‘A’ share portfolio was modest, but it was broadly in line with the local index. For the 12 months ending October 31, 2022, the situation was reversed. The ‘A’ share portfolios in the United States, Europe, Japan, and China all outperformed throughout this time. Meanwhile, the UK allocation fared in line with the local index, which declined in absolute terms, and the Pacific (excluding Japan and China) allocation returned a negative absolute and relative return as investors favoured high-growth, low-yielding technology stocks.

Investment strategy – Broad bias to quality, value and income

Alex Crooke oversees the Bankers Investment Trust Plc share price (BNKR), which is managed regionally by professionals from Janus Henderson Investors’ global equity teams, who select equities with a focus on quality, value, and income. UK, North America, Europe, Japan, the Pacific (excluding Japan and China), and China’s A-shares are the regional portfolios. A minor 0.3 percent allocation to non-Asian emerging markets remains.

Despite the fact that the entire stock list is very broad (170–180 names). The regional portfolios are fairly concentrated, With a target of 30 holdings per portfolio.

All of the managers are bottom-up stockpickers, albeit their investment approaches vary slightly. With some focusing more on value and income and others focusing more on growth.

There is a preference for cash-generating corporations with robust balance sheets. Growing dividends, as evidenced by BNKR’s 54-year dividend growth record. The average holding term is two and a half to four years, and portfolio turnover is modest.

North America accounted for 33.9 percent of the portfolio as of 30 June 2023, and Gordon Mackay has been in charge of it since the beginning of 2022. The Edinburgh-based team is more concerned with growth than with value. The United Kingdom was responsible for 20.3 percent, Europe for 19.3 percent, and Japan for 10.9 percent. Mike Kerley, who also oversees Henderson Far East Income, is in charge of Pacific ex-Japan and China (9.5 percent) (HFEL). He is a value investor, although his BNKR portfolio is less income-oriented than his HFEL portfolio. Finally, May Ling Wee, an experienced fund manager in Janus Henderson’s Singapore regional base, has been overseeing China ‘A’ shares. Which accounted for 5.8% of the portfolio at the end of June 2023. Since 2016, Ling Wee has worked on the firm’s open-ended China funds with former manager Charlie Awdry.

Investment Trusts And Funds – So What’s The Difference?

Investment trusts and funds share several characteristics, the most obvious of which is that they allow investors to ‘pool’ their money with that of others, allowing them to gain exposure to a diverse variety of assets through a single-vehicle. However, one could argue that the similarities end there!

Despite being a part of the investment landscape for over 150 years, bankers investment trust Plc share prices are far less well-understood than funds. As a result, it has attracted far less attention; the total assets under management in UK investment trusts at the end of 2019 were in the region of £200 billion. Whereas the total assets in the UK investment industry as a whole were around £9.1 trillion.

Investment trusts, on the other hand, are seeing a rebound in popularity. Their total assets increased by more than £120 billion in the last ten years. More than doubling the sector’s size.

Investment trust or unit trust

#1. Investment trusts

Investment trusts are essentially businesses that own assets like stocks. They are managed by a fund manager and are overseen by an independent board of directors who act in the best interests of shareholders. The firm is publicly on the London Stock Exchange. Investment trusts typically invest in other firms’ stock, but they can also invest in other financial assets.

Investment trusts have a limited number of shares in each issue because they are closed-ended funds. Because managers do not have to sell assets when investors sell their shares, they can adopt a longer-term view.

Because of some of the distinguishing characteristics that set investment trusts apart from other types of funds, they appeal to a wide range of investors.

Investors seeking income may be to learn that investment trusts can set aside up to 15% of underlying asset income each year to build up a reserve that can be to smooth dividend payments in difficult times. This means that investors may count on a stable income regardless of market conditions. Investment firm boards may elect to pay income out of capital in specific conditions. While this may reduce the funds’ long-term capital returns, many investors are content to prioritize short-term income distributions.

Another uncommon feature that allows investment trusts to borrow can pique the interest of growth investors. This means that if management believes a market has worth, they can borrow funds to make additional investments. This is referred to as “gearing.”

Returns from an investment trust can be amplified in a rising market since managers can better take advantage of higher share prices thanks to gearing. When share prices fall, however, geared funds’ losses might be magnified.

#2. Unit Trusts

Unit trusts are the most common type of collective investment scheme in the United Kingdom. They are often known as open-ended funds because they will always accept additional money from investors they just expand to meet the demand. In the event that there are more sellers than buyers, the fund will shrink. This is due to the fact that it is a corporation with the ability to issue new shares to new investors. The ability to buy back shares from existing investors who desire to sell.

The worth of a fund’s holdings is always in its price. When there are more buyers than sellers in the fund, the manager issues more units. The manager cancels units when the opposite is true.

Even though some are more expensive than investment trust alternatives, they are more generally used. It’s critical to compare prices.

The ability to create new units is one of the major benefits of open-ended funds. As is the fact that there are considerably more funds available, giving investors far more options.


Are investment trusts dual priced?

Most unit trusts are ‘dual-priced’ – they have an offer (or buying) price and a bid (or selling) price. The initial charge is added to the creation price to give the offer price, and the bid-offer spread is subtracted from the offer price to give the bid price.

Is an investment trust closed ended?

As a closed-ended fund, investment trusts have a fixed number of shares in an issue. This allows managers to take a longer-term view because they do not have to sell assets when investors sell their shares.

Is an investment trust a mutual fund?

An investment trust is a listed company, and shares in this company can be bought and sold on a stock market. … In contrast, mutual funds are open-ended funds, which work by splitting the assets they invest in into units (this is why they are sometimes referred to as ‘unit trusts’).

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As a closed-ended fund, investment trusts have a fixed number of shares in an issue. This allows managers to take a longer-term view because they do not have to sell assets when investors sell their shares.

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An investment trust is a listed company, and shares in this company can be bought and sold on a stock market. ... In contrast, mutual funds are open-ended funds, which work by splitting the assets they invest in into units (this is why they are sometimes referred to as 'unit trusts').

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