Fund Manager's Comment
Data as at 28 November 2008
With volatility high and continuing, November was another memorable month. Apartheid – in terms of the relative performance of big vs small-caps – continued to rule. Most small-caps face illiquidity, so we couldn’t sell even if we wanted to. Our purchases in November were mostly of big-caps with defensive qualities. We bought Tesco – now on a p/e of only 10x – after its results, and Compass Group. It continues to see demand for catering, especially from stable sectors such as schools and hospitals. Taking our oil weighting up to 18% of the Fund, we bought BG. It has excellent reserves, a strong balance sheet and strong management. Dollar earners, particularly in the Lloyds’ insurance market, remain attractive to us. Our holding in Lancashire continues to do well.
Fund Manager
Adrian Paterson
Manager of the Artemis UK Growth Fund since
2 September 2002
Awards
UK Growth PDFKey Facts
| IMA Sector | UK All Companies |
|---|---|
| Sedol Number | 0258326 |
| Fund Size (Offer basis) | £289.3m |
| Historic Yield | 1.2% |
| Unit Offer Price | 180.30p |
| Unit Bid Price | 168.00p |
| Valuation | 12 noon daily (UK business days) |
| Min. lump sum investment | £1,000 |
|---|---|
| Min. monthly investment | £50 |
| Launch | 3 April 1998 |
| Launch price | 100p |
| Initial charge | 5% |
| Annual Management Charge | 1.5% |
| Unit type | Accumulation |
| Accumulation date | 28 February |
Data as at 28 November 2008.
Performance
| Since Launch* | 5 years | 3 years | 1 year | 6 months | |
|---|---|---|---|---|---|
| UK Growth Fund (TR) † | 76.4 | 1.7 | -27.5 | -37.8 | -33.8 |
| FTSE All-Share (TR) † | 4.1 | 17.8 | -13.6 | -32.2 | -29.3 |
| FTSE 100 (TR) † | -1.7 | 17.9 | -11.8 | -30.5 | -27.6 |
| Sector Average † | 0.3 | 6.9 | -20.5 | -35.3 | -32.8 |
| Position in Sector | 3 | 190 | 235 | 244 | 221 |
| Funds in Sector | 142 | 254 | 281 | 322 | 327 |
| Quartile | 1 | 3 | 4 | 4 | 3 |
Please remember that past performance is not a guide to
the future.
* Data from 3 April 1998. Source: Lipper Limited, bid to bid in sterling
with net income reinvested to 28 November 2008. All figures show
total returns. †Percentage Growth. Sector is IMA UK All Companies.
Percentage Growth
Artemis UK Growth Fund 12 Months to 30 September
| 2008 | 2007 | 2006 | 2005 | 2004 |
|---|---|---|---|---|
| -27.3 | 10.8 | 7.8 | 17.6 | 29.2 |
Source: Lipper Limited, bid to bid in sterling with net income reinvested. All figures show total returns.
Value of £1,000 invested at Launch to 28 November 2008
Data from 3 April 1998. Source Lipper Limited, bid to bid in sterling with net income reinvested to 28 November 2008.
Asset Allocation*
*Without cash. Source: Internal
Top Ten Holdings*
| Royal Dutch Shell 'B' | 8.4% |
|---|---|
| BP | 7.8% |
| Vodafone | 6.3% |
| GlaxoSmithKline | 5.6% |
| AstraZeneca | 5.3% |
| Lancashire Holdings | 4.2% |
| Cable & Wireless | 3.5% |
| Compass Group | 3.3% |
| Blueheath | 2.9% |
| Tenon Group | 2.7% |
* Without cash.
Source: Internal.
Market Sector Split*
| Oil & Gas Producers | 21.0% |
|---|---|
| Pharmaceuticals & Biotechnology | 11.0% |
| Travel & Leisure | 8.1% |
| General Financial | 7.3% |
| Mobile Telecommunications | 6.3% |
| Mining | 5.9% |
| Fixed Line Telecommunications | 5.3% |
| Banks | 5.2% |
| Support Services | 5.0% |
| Other | 24.9% |
* Without cash.
Sector Classification: FTSE Actuaries.
Source: Internal.
% Variance†*
| Royal Dutch Shell 'B' | 4.5% |
|---|---|
| Lancashire Holdings | 4.2% |
| Cable & Wireless | 3.2% |
| Booker | 2.9% |
| Compass | 2.8% |
| Tenon Group | 2.7% |
| AstraZeneca | 2.3% |
| Hargreaves Services | 2.2% |
| Evolution Group | 2.1% |
| Avocet Mining | 1.9% |
† Positive variance between stock % held in the fund versus FTSE
All-Share.
* Without cash. Source: Internal.
Risk Warning
Issued by Artemis Fund Managers Ltd which is authorised and regulated by the Financial Services Authority (www.fsa.gov.uk), 25 The North Colonnade, Canary Wharf, London E14 5HS and is a member of the IMA. Artemis Fund Managers Ltd is a member of the Artemis Marketing Group. We only market our own unit trusts. The value of an investment, and any income from it, can fall as well as rise as result of market and currency fluctuations and you may not get back the amount originally invested. Investment in the securities of smaller and/or medium sized companies can involve greater risk than is customarily associated with investment in larger, more established companies. The market for securities in smaller companies is often less liquid than that for securities in larger companies, meaning above average price movements both positive and negative can be expected.
All data is sourced internally unless otherwise stated.
The historic yield reflects distributions declared over the past twelve months as a percentage of the mid-market unit price, as at the date shown. It does not include any preliminary charge and investors may be subject to tax on their distributions.
