Moneywise First 50 Funds - active funds to add value
See our 50 first funds for beginners homepage for links to the other funds in the list.
UK Stock market income
CF Woodford Equity Income C Inc or Acc
Managed by the UK’s best- known fund manager, Neil Woodford, this invests primarily in UK-listed companies. It aims to provide a reasonable level of income together with capital growth.
￼ISIN – Inc: GB00BLRZQ620
MI Chelverton UK Equity Income B Inc or Acc
By investing in predominantly medium-sized companies, it aims to deliver a high and growing quarterly dividend and the prospect of good long-term capital growth.
￼ISIN – Inc ￼GB00B1FD6467
Marlborough Multi Cap Income P Inc or Acc
With a bias to small and mid- cap companies, it seeks to generate an attractive and growing level of dividend income, plus long-term capital growth.
￼ISIN – Inc: GB00B908BY75
UK stock market growth
AXA Framlington UK Select Opportunities ZI Inc or Acc
Run by very experienced and highly respected Nigel Thomas, it can invest in UK companies of any size.
￼ISIN – Inc: GB00B703ZS07
Old Mutual UK Mid Cap R Inc or Acc
Its aim is to provide capital growth by investing primarily in a portfolio of medium-sized UK companies.
ISIN – Inc: ￼GB00B8FC6L92
Marlborough UK Micro-Cap Growth Fund P Acc
Managed by Giles Hargreave, it aims to provide a total return of capital and income in excess of that achieved by the FTSE Small Cap Index (excluding investment companies) over the medium to long term.
Global stock market
Fundsmith Equity I Inc or Acc
Managed by Terry Smith, it invests in equities on a global basis for the long term. It will not adopt short-term trading strategies.
￼ISIN – Inc: GB00B4MR8G82
Lindsell Train Global Equity B Inc
Managers Nick Train and Michael Lindsell want to achieve long- term income and capital growth by constructing a concentrated portfolio of 20 to 35 ‘exceptional’ companies from around the world.
(D Inc version available on Hargreaves Lansdown for 0.57% OCF)
ISIN – B Inc: IE00B3NS4D25
￼D Inc: IE00BJSPMJ28
Artemis Global Income I Inc or Acc
The fund is better diversified than some global equity income funds, using its full global remit to exploit income opportunities and keeping its UK content relatively low.
￼ISIN – Inc: GB00B5N99561
Specialist overseas shares
Man GLG Japan CoreAlpha Professional Inc or Acc
Japan is a major developed market, and this is a sound choice for getting core Japanese equity exposure into your portfolio. It invests in large-cap Japanese companies focusing on out-of- favour ‘value’ stocks.
ISIN - Inc: GB00B3F47512
Stewart Investors Asia Pacific Leaders B Inc or Acc
Its goal is to achieve long-term capital growth from a portfolio of large and medium-sized companies in the Asia Pacific region (excluding Japan, including Australasia).
ISIN – Inc: GB00B57S0V20
Fidelity Emerging Markets W Acc
Aiming to offer long-term capital growth, it invests mainly in company shares in countries experiencing rapid economic growth including those in Africa, the Indian sub-continent, Latin America, South East Asia, Europe and the Middle East.
Newton Real Return W Inc or Acc
A good ‘one stop shop’ for the more cautious investor, it aims to generate a total return compromised of long-term capital growth and income by investing in a broad multi-asset portfolio.
The fund’s manager Iain Stewart’s first priority is capital protection and then he looks to deliver returns of 4% above cash a year over the longer term.
ISIN – Inc: GB00B7W36529
Kames Absolute Return Bond Fund B Acc
It aims to generate positive absolute returns for investors over a rolling three-year period, irrespective of market conditions.
Fidelity MoneyBuilder Income Y Inc or Acc
A relatively conservatively managed, high-quality, investment-grade corporate bond portfolio, it aims to provide an attractive level of income and predominantly invests in UK fixed-interest securities, with some exposure to other developed markets.
ISIN – Inc: GB00B3Z9PT62
Jupiter Strategic Bond I Inc or Acc
A go-anywhere bond fund that aims for a high income and capital growth by seeking out the best fixed- income opportunities in the world.
ISIN – Inc: GB00B544HM32
MI TwentyFour Dynamic Bond I Inc or Acc
By investing in a broad range of bonds and fixed- income assets, it aims to provide an attractive level of income along with an opportunity for capital growth.
ISIN – Inc: GB00B57TXN82
Marlborough Global bond P Inc or Acc
A very diversified portfolio of bonds from around the world, including the UK. A good way to diversify bond exposure.
ISIN – Inc: GB00B8H7D001
M&G Property Portfolio I Inc or Acc
It invests in a diversified portfolio of commercial property – such as retail, offices and industrial, predominantly in the UK. Offers good, core exposure to property.
ISIN – Inc: GB00B89X8P64
Henderson UK Property I Inc or Acc
This fund has a commitment to paying a high income together with some growth of capital through investment primarily in commercial property and property-related assets.
ISIN – Inc: GB00BP46GG64
An individual employed by an institution to manage an investment fund (unit trust, investment trust, pension fund or hedge fund) to meet pre-determined objectives (usually to generate capital growth or maximise income) in prescribed geographic areas or investment sectors (such as UK smaller companies, technology or commodities). The manager also carries the responsibility for general fund supervision, as well as monitoring the daily trading activity and also developing investment strategies to manage the risk profile of the fund.
The term is interchangeable with stock exchange, and is a market that deals in securities where market forces determine the price of securities traded. Stockmarket can refer to a specific exchange in a specific country (such as the London Stock Exchange) or the combined global stockmarkets as a single entity. The first stockmarket was established in Amsterdam in 1602 and the first British stock exchange was founded in 1698.
This is more usually a feature of car insurance but it can also crop up in contents, mobile phone and pet insurance policies. An excess is the amount of money you have to pay before the insurance company starts paying out. The excess makes up the first part of a claim, so if your excess is £100 and your claim is for £500, you would pay the first £100 and the insurer the remaining £400. Many online insures let you set your own excess, but the lower the excess, the more expensive the premium will be.
An interchangeable term for shares (UK) or stocks (US). Holders of equity shares in a company are entitled to the earnings and assets of a company after all the prior charges and demands on the company’s capital (chiefly its debts and liabilities) have been settled. To have equity in any asset is to own a piece of it, so holders of shares in a company effectively own a piece proportionate to the number of shares they hold. (See also Shares).
If you own shares in a company, you’re entitled to a slice of the profits and these are paid as dividends on top of any capital growth in the shares’ value. The amount of the dividend is down to the board of directors (who can decide not to pay a dividend and reinvest any profits in the company) and they will be paid twice yearly (announced at the AGM and six months later as an interim). Dividends are always declared as a sum of money rather than a percentage of the share’s price. Although dividends automatically receive a 10% tax credit from HM Revenue & Customs (HMRC), which takes the company having already paid corporation tax on its profits into account. Dividends are classed as income and, as such, are liable for personal taxation and so shareholders have to declare them to HMRC.
Generic, loosely-defined term for markets in a newly industrialised or Third World country that is in the process of moving from a closed economy to an open market economy while building accountability within the system. The World Bank recognises 28 countries as emerging markets, including Argentina, Brazil, China, Czech Republic, Egypt, India, Israel, Morocco, Russia and Venezuela. Because these countries carry additional political, economic and currency risks, investors in emerging markets should accept volatile returns. There is potential to make large profit at the risk of large losses.
Corporate bonds are one of the main ways companies can raise money (the other is by issuing shares) by borrowing from the markets at a fixed rate of interest (the reason why they are also known as “fixed-interest securities”), which is called the “coupon”, paid twice yearly. But the nominal value of the bond – usually £100 – can fluctuate depending on the fortunes of the company and also the economy. However it will repay the original amount on maturity.