Select List fund range changes

We have chosen Morningstar, a global independent investments research company, to select a range of funds for our customers. This range is designed to make it easier for you to choose the right fund(s). It is not a personal recommendation.

The expert team of analysts at Morningstar are always monitoring how the Select Fund Range is performing and may make changes to the funds in the range on a quarterly basis.

The commentary and rationale is provided by Morningstar who maintain the select list – but you should remember that references to past performance is no guarantee of future returns and that the value of investments and the income from them can fall as well as rise, and you may get back less than you invest.

We launched our Select List of funds in March 2018 - the table below shows details of when and why changes have been made to the Select List of funds.

Name of investment

What’s changed? (Morningstar view)

Date changed

Name of investment

What’s changed? (Morningstar view)

Removed.
 

Following the announcement that manager Charlie Awdry has decided to step down from Janus Henderson China Opportunities fund, the Morningstar Analyst Rating was recently placed Under Review. Morningstar no longer believe the funds represents one of their best ideas in this sector.

Date changed

18/05/2020

Name of investment

What’s changed? (Morningstar view)

Removed.
 

Morningstar Analyst Rating has been downgraded to neutral and it is no longer believed the fund represents one of their best ideas in this sector.

Date changed

18/05/2020

Name of investment

What’s changed? (Morningstar view)

Removed.
 

Morningstar believe there is lower conviction in the investment so the Morningstar Analyst Rating has been downgraded to Neutral from Bronze  and it is no longer believed the fund represents one of their best ideas in this sector.

Date changed

18/05/2020

Name of investment

What’s changed? (Morningstar view)

Removed.
 

A recent bout of underperformance means the fund now resides in the bottom quartile of the IA European smaller companies peer group over one and three years. As a result, Morningstar no longer believe the funds represents one of their best ideas in this sector and are recommending the removal of this fund.

Date changed

18/05/2020

Name of investment

What’s changed? (Morningstar view)

Added.
 

Performance has been remarkably consistent, outperforming the peer group average every calendar year for the past ten years.

Date changed

18/05/2020

Name of investment

Trojan O Acc (Accumulation)

Trojan O Inc (Income)

What’s changed? (Morningstar view)

Added.
 

An offering that Morningstar believes could offer capital preservation and potential long-term capital growth within a very risk aware process.

Date changed

18/05/2020

Name of investment

What’s changed? (Morningstar view)

Added.
 

The investment team is experienced and displays impressive deep insights into the companies researched and despite sitting across four global offices, collaboration is a key feature.
 

The group’s approach is straightforward and distinct and has led to strong risk-adjusted performance over the long-term.

Date changed

18/05/2020

Name of investment

What’s changed? (Morningstar view)

Added.
 

Since Andrew Paisley became manager in August 2014, the strategy has comfortably outperformed its EMIX Smaller European Companies ex UK benchmark and the Morningstar Category average. Analysis suggests that stock selection has been a strong driver of the excess returns.

Date changed

18/05/2020

Name of investment

What’s changed? (Morningstar view)

Added.
 

The fund combines a distinctive process with a pair of experienced, well resourced teams at a competitive price. These factors have led to strong risk adjusted returns over time.

Date changed

18/02/2020

Name of investment

What’s changed? (Morningstar view)

Added.
 

The fund benefits from an experienced manager who is supported by a well-resourced team. The consistency and discipline of the investment approach has helped the fund achieve strong risk-adjusted returns over the manager’s tenure.

Date changed

18/02/2020

Name of investment

What’s changed? (Morningstar view)

Added.
 

Income fund is being added to compliment existing Accumulation fund.

Date changed

18/02/2020

Name of investment

What’s changed? (Morningstar view)

Added.
 

The fund benefits from an extremely experienced manager managing a stable and well-resourced team. Returns since the financial crisis have been strong and the strategy represents a good option for investors looking for robust corporate bond exposure with an ethical tilt.

Date changed

18/02/2020

Name of investment

What’s changed? (Morningstar view)

Added.
 

The fund is a strong choice for investors looking for moderate long-term capital growth with reduced volatility, from a balanced portfolio of equities and bonds, using a sustainability approach that has been used in a disciplined manner over time.
 

The fund benefits from one of the most established sustainable investment teams in the sector, with both managers part of the sustainable team since its formation in 2003. Since launch returns are comfortably ahead of both peers and the benchmark.

Date changed

18/02/2020

Name of investment

What’s changed? (Morningstar view)

Added.
 

The fund is a strong choice for investors looking for modest income and capital growth from a portfolio centred around bonds, with some exposure to equities, using a sustainability approach that has been used in a disciplined manner over time.
 

The fund benefits from one of the most established sustainable investment teams in the sector, with both managers part of the sustainable team since its formation in 2003. Since launch returns are comfortably ahead of both peers and the benchmark.

Date changed

18/02/2020

Name of investment

What’s changed? (Morningstar view)

Added.
 

The fund is a strong choice for investors looking for long-term capital appreciation from an equity dominated portfolio, using a sustainability approach that has been used in a disciplined manner over time.
 

The fund benefits from one of the most established sustainable investment teams in the sector, with both managers part of the sustainable team since its formation in 2003. Since launch returns are comfortably ahead of both peers and the benchmark.

Date changed

18/02/2020

Name of investment

What’s changed? (Morningstar view)

Added.
 

The fund holds a Morningstar Analyst Rating of Gold and employs a straightforward, diversified and low-cost approach, making it a sound long-term option. It is part of a range of five fixed-allocation funds. Vanguard’s approach to its LifeStrategy range is simple and transparent offering five funds differentiated by their target equity/bond allocations.

Date changed

18/02/2020

Name of investment

What’s changed? (Morningstar view)

Removed.
 

Although the fund’s Morningstar Analyst Rating was maintained at Bronze earlier in the year the Kames’ equity and fixed income teams have witnessed many changes over the past couple of years.

Date changed

18/02/2020

Name of investment

What’s changed? (Morningstar view)

Removed.
 

The funds Morningstar Analyst Rating has been downgraded to neutral following changes to the management of the fund.

Date changed

01/10/2019

Name of investment

What’s changed? (Morningstar view)

Removed.
 

Morningstar no longer believe this fund can be considered one of their best ideas in the sector.

Date changed

01/10/2019

Name of investment

What’s changed? (Morningstar view)

Added.
 

Morningstar are adding this fund to the select list as a replacement for the fund ‘River & Mercantile UK Equity Smaller Companies’. Morningstar believe this addition to the select list offers a solid option for UK smaller companies’ exposure.

Date changed

01/10/2019

Name of investment

What’s changed? (Morningstar view)

Removed.
 

The fund’s Morningstar Analyst Rating has been downgraded to Neutral. This is on the back of concerns around the strategy’s execution, liquidity, and risk management.

Date changed

28/08/2019

Name of investment

What’s changed? (Morningstar view)

Removed.
 

The fund’s Morningstar Analyst Rating has been downgraded to Neutral. This was a result of the portfolio having a mixed track record.

Date changed

28/08/2019

Name of investment

What’s changed? (Morningstar view)

Removed.
 

The fund’s Morningstar Analyst Rating has been downgraded to Neutral. This was due to a loss in confidence on the management of the fund.

Date changed

28/08/2019

Name of investment

What’s changed? (Morningstar view)

Removed.
 

Due to management changes Morningstar no longer believe this fund constitutes one of their best ideas in the sector.

Date changed

28/08/2019

Name of investment

What’s changed? (Morningstar view)

Removed.
 

Morningstar no longer believe this offering within its category constitutes one the best ideas in the sector.

Date changed

28/08/2019

Name of investment

What’s changed? (Morningstar view)

Removed.
 

A higher U.K. bias has affected returns since the Brexitvote in June 2016 and stock selection has continued to deteriorate. The short and long term strategy are also tied in with the Brexitoutcome. Morningstar’s view is that the investment process has declined, the analyst rating has now downgraded this investment from Bronze to Neutral.

Date changed

26/04/2019

Name of investment

What’s changed? (Morningstar view)

Removed.
 

Andrew Rose who is a long-standing manager will retire in June 2019. His departure will mark a significant loss in experience. He will be succeeded as lead manager on this fund by Masaki Taketsume. Taketsume has extensive experience analysing Japanese technology stocks but little portfolio-management experience. Analyst rating downgraded from Under Review to Neutral.

Date changed

26/04/2019

Name of investment

What’s changed? (Morningstar view)

Removed.
 

Analyst rating downgraded from bronze to neutral following internal managerial changes.

Date changed

25/01/2019

Important legal information

Bank of Scotland Share Dealing Service is operated by Halifax Share Dealing Limited. Halifax Share Dealing Limited. Registered in England and Wales no. 3195646. Registered Office: Trinity Road, Halifax, West Yorkshire, HX1 2RG. Authorised and regulated by the Financial Conduct Authority, 12 Endeavour Square, London, E20 1JN under registration number 183332. A Member of the London Stock Exchange and an HM Revenue & Customs Approved ISA Manager.