Lindsell Train Limited is expanding its investment team despite its funds bleeding £743m over its latest six-month trading period.
The boutique fund house is on the hunt for a further recruit at the graduate level, according to the latest results for the Lindsell Train Investment Trust, where the fund house accounts for 47% of net asset value.
The last recruit to the investment team was Ben van Leeuwen, who joined in 2019 and is an analyst and portfolio manager’s assistant.
The investment team is currently six strong with four of those individuals having studied at Oxford, including Nick Train (pictured), who graduated with a degree in modern history. The team is also dominated by arts majors with Michael Lindsell, who studied zoology at the University of Bristol, one of only two majoring in sciences instead.
In addition to the investment team, Lindsell Train Limited is planning to bolster its operational and marketing expertise, said LTIT chairman Julian Cazalet.
In May, Lindsell Train Limited nabbed Joss Saunders from Baillie Gifford to become its new chief operating officer and replace Michael Lim, who helped set up the business in 2000 but is reducing his work commitments. Lim will remain a director at the company.
‘It would be optimal if LTL’s approach was all things to all men all the time’
The LTIT half-year results also revealed Lindsell Train Limited suffered £743m net outflows in the six-month period ended 30 September. That represents 3% of funds under management at the start of the reporting period.
Total FUM was £23.7bn at the end of September, which values the company at £354.8m, according to the LTIT results.
Cazalet admitted investors were being drawn to investment styles that were performing better in the current market environment. Lindsell Train has no exposure to capital intensive manufacturing, and never would, he said, and did not have enough exposure to software and platform technology. It may make investments in the latter if favourable entry points presented themselves, he said.
“Of course, it would be optimal if LTL’s approach was all things to all men all the time – but that’s a tall order for any investment approach and particularly one as focused and long-term as LTL’s,” he said.
See also: Lindsell Train founders pocket £35m in sluggish year for fund boutique
