Published in Hargreaves Lansdown’s UK Equity Income Report, the list found a “high correlation” between a fund having strong capital returns and strong total returns, and that some managers very successfully beat the benchmark and sector averages across the decade.
Brooke, manager of the Trojan Income Fund, ranked first for his total returns of 127% and third for capital returns of 48.3%, between 2007 and 2016, while Woodford experienced total returns of 104.2% and capital returns of 40.9%.
Mark Barnett, of Invesco Perpetual High Income, ranked three places above Woodford with total returns of 117.1%, and took the top spot in terms of capital returns after reporting 54.8% over the decade.
Hargreaves Lansdown senior analyst Laith Khalaf, said: “Over the 10-year performance period analysed, Mark Barnett has outperformed his predecessor Neil Woodford.
“Partly this is down to Barnett’s older fund, Strategic Income, being more mid-cap focussed than the Invesco Perpetual Income and High Income funds.
“Partly this is down to Neil Woodford being out of the market for a period of time between leaving Invesco Perpetual and launching his new Equity Income fund.
“And partly this is simply a demonstration that like Neil Woodford, Mark Barnett is a very good fund manager.”
The report analysed the performance of fund managers with an identifiable 10-year track record, with 34 in the final analysis.
Overall, the UK Equity Income sector returned four times more than cash over the past 10 years, with a £10,000 investment in the IA sector in in 2007 now worth £15,799.
