Fund buyers have praised Troy Asset Management’s “well handled” succession planning as Francis Brooke announces he will leave his fund management responsibilities behind at the end of the year, taking up a new role as executive vice-chairman at the asset manager.
Brooke (pictured), who has managed the £3.3bn Trojan Income fund since launch in 2004 and the £241m Troy Income & Growth Trust since 2009, will be replaced by Blake Hutchins as the Trojan Income fund’s lead manager from 1 January 2022.
Hugo Ure, who joined Troy in 2009, will remain as co-manager on the Troy Income & Growth Trust with Hutchins. Ure is also head of responsible investment and lead manager on the Trojan Ethical Income fund.
See also: Blake Hutchins added to Troy Income & Growth a year after joining fund house
Hutchins, who joined Troy in October 2019 from Investec Asset Management, will continue to invest in line with the fund’s philosophy “with a focus on achieving strong, risk-adjusted returns with low volatility”.
Fund buyers appreciate ‘smooth handover’
Willis Owen head of personal investing Adrian Lowcock said: “Troy have long prepared for Francis Brooke’s retirement and put into place plans to ensure a smooth handover.
“Blake Hutchins joined the group in 2019 as part of that process and his similar style – with a focus on low volatility and low drawdown – means the Trojan Income fund is likely to be managed in a very similar way, with little disruption. This is certainly no reason for current holders to sell out.”
AJ Bell head of active portfolios Ryan Hughes said: “The news has been well handled with a good lead time to enable investors to get comfortable with the news and given the continuity, I expect no change to the philosophy and process. As a result, I’m very relaxed at continuing to use the fund and trust in our portfolios.”
Hutchins praises Brooke’s ‘wonderful job’ on portfolios
Hutchins said Brooke had done a “wonderful job” managing the Trojan Income Fund and Troy Income & Growth Trust, “taking an approach to equity income investing that I have long admired”.
“I greatly look forward to further building on the consistent record of attractive, resilient, risk-adjusted returns,” said Hutchins.
He added: “With a talented, well-resourced team, and Troy’s clear and repeatable investment approach, this is something I believe we are extremely well-placed to do.”
The Trojan Income has returned 16.5% over a five-year period, below the IA UK Equity Income sector average of 27%, while the Troy Income & Growth Trust returned 17.1% over the five-year period, compared to the IT UK Equity Income returns of 35%, according to Trustnet.
See also: Blake Hutchins uses Covid volatility to make his mark on Trojan Income
