Woodford Investment Management has published the entire portfolio of its third fund, the CF Woodford Income Focus Fund, which launched in April this year.
In the interests of transparency and clarity for its investors, full disclosure of the CF Woodford Income Focus Fund’s portfolio will be provided online on a monthly basis, in line with the other Woodford funds.
Neil Woodford, head of investment, Woodford Investment Management, has built a portfolio focused on dividend-paying stock market listed securities with no geographical constraint, in a bid to meet increasing investor demand for high-quality income streams, together with capital growth. The fund is fully invested.
The portfolio of 50 stocks highlights an increased emphasis on selective domestic cyclical opportunities, which Neil Woodford believes are undervalued in the current market environment.
Neil Woodford says: “In the run up to the launch of the Income Focus Fund I had said that I believed there was an attractive domestic opportunity, in part because people were too downbeat about the UK economy. The new portfolio is a manifestation of this view but in a more income-focused way.
“The bearish mood has resulted in very big share price falls in some domestic cyclical sectors and it is this opportunity set that I see in the stock market right here, right now. I have been taking advantage of some of the depressed valuations in domestic cyclicals, selectively buying stocks in sectors such as house builders, banks, construction, building materials and property for the new fund. There are also some familiar names in the portfolio, which is in great shape and I am extremely confident it will deliver the income target we set when we launched the fund in March.”
The fund, which went live on 12 April 2017, raised GBP553 million during the offer period. The fund has an investment objective for high income generation together with capital growth and will aim to deliver an income of 5p per share per annum.
