This blog is designed to record the investment journey of a UK based small investor. I hope to make a modest contribution to the collective wealth of investing knowledge made freely available to ordinary people. I am the author of four books [see sidebar and books tab]
International (MWY) is a theme-based global investment trust. The strategy is to hold
around 60 - 70 investments comprising between 8 to 10 themes. Current themes include
Automation/Robots 14%, Emerging Market Consumer 15%, Tourism 5%, Healthcare
& Immunology 17%, Online Services 16%, Low Carbon World 7%, Screen Time 11%
and Scientific Equipment 6%.
management team led by Simon Edelsten have built a portfolio of high-quality
holdings which focus on a number of trends which offer the prospect of long
were added to my ISA portfolio in April 2018 at the price of 474p.
have this week announced results for the full year to end June 2019 (link via
Investegate). This has been another good year with share price total return up
15.2% compared to the All Country World Index 9.7%. Over the past 5 years, net
assets have increased by 115%.
acquired this trust mainly for growth but it does offer a yield of around 1.0%.
The total dividend for the full year will be increased by 5% to 5.83p (2018 5.55p)
which is covered by revenues of 6.79p.
3 Yr Chart .. MWY v FTSE All Share
(click to enlarge)
Since acquiring these shares last year, I have
written to the managers urging them to include climate as one of their themes
and I am pleased to see that they have now made several additions under their
Low Carbon theme...including Orsted. So, it obviously pays to ask and I am
The managers appear to be climate-aware and avoid coal,
fossil fuel stocks and the mining sector which together account for 12% of the
global index. This is one of the big problems for ethical investors holding global index funds.
Of course, one of the themes is tourism which is
not so climate-friendly and I was pleased to see the managers have reduced
exposure from 13% to 5% over the past 12 months. Maybe they will eliminate this
theme by next year and build up Low Carbon.
Here's an extract on sustainable investing from
their report :
"Over the year a number of investment houses have made much
of the sustainability of their investments or of how their funds score on
measures of environmental, social and governance factors. As we aim for longer
term investment success, we have always included these factors in our selection
process. Our interpretation of the factors is based on common sense and
real-life situations, rather than any tick list or 'one-size-fits-all' screen.
As an example, we think that air travel may remain essential in large Asian
countries while the environmental damage of cheap flights may become
unacceptable in Europe.
We are not, however, looking to change the
world; and nor do we presume to have an ethical code that all would follow. Our
aim is to invest in companies which prosper without damaging society or the
environment. We believe that this is an aim that we share with our investors
and that this perspective is, and has always been, central to the management of
a successful Investment Trust".
This is early days for me, just a year and a half
in. The share price is currently 595p so a rise of 25% since purchase. Having
recently disposed of Scottish Mortgage Trust, I may well look to increase my
holding in this trust should there be a dip in the price - which is currently at an all-time high.
But for now, this can return to the bottom drawer.
As ever, this article is merely a record of my personal investment decisions and should not be regarded as an endorsement or recommendation - always DYOR!