Fund in Focus: Troy Trojan

David Holder on why Morningstar analysts have initiated coverage of Troy Trojan with a Gold Rating

David Holder 19 November, 2018 | 8:27AM

 

 

David Holder: We believe that Troy Trojan is a strong offering for investors seeking capital preservation and long-term growth. Fund manager Sebastian Lyon formed Troy Asset Management in 2000 and launched this strategy in 2001. Troy Asset Management provides a very solid and supportive environment for Lyon, who works alongside other experienced investment professionals. Lyon also manages the Personal Assets Trust to which he was appointed investment adviser in March 2009. The two funds share high levels of commonality of investment approach and the regular interaction between Lyon and the Board of Personal Assets in turn informs his decision making on this fund.

Lyon is a cautious investor who learnt early on in his career that preservation of wealth is more important than growth of assets, and this ethos has served him – and his investor – well. Through a flexible asset allocation framework, Lyon has the ability to invest across a broad range of assets such as equities, government bonds, index-linked bonds, and precious metals and also to use cash actively. Lyon will often buy assets that are out of favour with a longer-term investment mind-set than many peers to meet the strategies objectives.

The long-term returns of the strategy have been strong since inception; moreover, the risk profile shows much lower volatility than its category, reflecting the conservative approach, focus on capital preservation which has resulted in good long-term risk-adjusted returns for investors. There is much for us to like here including an experienced manager, established process and supportive parent. We initiate our Rating with a Morningstar Analyst Rating of Gold.

 

The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.

Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
Rating
Troy Trojan X Acc100.85 GBP0.37-

About Author

David Holder  is a senior investment research analyst at Morningstar