View more on these topics

Daniel Godfrey targets 7% returns with The People’s Trust


Former Investment Association chief executive Daniel Godfrey has revealed details of his new investment company The People’s Trust, which will include a social impact element and plans to “change the system”.

Money Marketing’s sister title Fund Strategy first revealed Godfrey’s plans about the business launch in March this year, five months after he left the Investment Association.

The trust will be launched early next year.

The fund will seek total returns of 7 per cent annually over a seven-year period and will be accessible to anyone who saves from £10 a week. As a starting point, the fund will be 1 per cent invested in charities and community interest companies with a direct social impact.

The global fund, which will invest an unconstrained manner and will be 100 per cent owned by its investors, will seek to achieve its returns by avoiding permanent loss of capital.

By December, the trust seeks to raise at least £100,000 from founders who want join in with backing for its development costs before the IPO on the London Stock Exchange.

Godfrey says: “There are a lot of people and funds who will accept that the potential for investment and finding better returns is there. But why are they not doing it? That is because of pressure in the system from shareholders, clients and managers.

“This fund is different as it aims to radically change the system and you can only do this outside the conventional system.”

Initial costs for the trust, which include a free Isa and savings plan, will be between 1 and 1.5 per cent a year but they are expected to decrease as the fund grows in assets. Godfrey says the fund will be also accessible on a platform to be developed in-house.

Godfrey says: “We are not trying to be the cheapest, but we are trying to be the best. Short-term periods can be a big divergence like other funds.”

As for its management, Godfrey aims to hire up to 10 portfolio managers to manage around 10 holdings. Investment consultancy Willis Towers Watson are advisers on selection and ongoing monitoring of investment managers.

First State Investments, Orbis Investments, and Big Issue Invest are also supporting investors.

As previously announced, future employees of the trust will be paid a straight salary, but no bonus.

Godfrey also plans to create a board of around eight people for the business. He has already appointed former founder and director of wealth management firm Ruffer Jane Tufnell to be an independent director.

He adds: “Short-term pressures and incentives could be replaced with longer-term thinking and investing, creating more growth.

“As well as giving investors more, better investment practices like these would have a positive impact on society – generating not just better returns, but a better future for everyone.”

Prior to being chief executive of the Investment Association Godfrey was director-general of the Association of Investment Companies.



Mark Dampier: A three step plan for investing in smaller companies

It is always good to see new blood coming up through the ranks, especially from an investment house that prides itself in having some of the best names in the industry. Manager of the Jupiter Smaller Companies fund James Zimmerman is a relatively new name to fund management, beginning his career five years ago as […]


Jupiter breaks £40bn AUM mark despite investment trust outflows

Net inflows of £789m in the third quarter have helped take the Jupiter’s assets under management to £40.4bn. Absolute return, fixed income and global emerging market strategies saw “significant” inflows, according to interim results. Chief executive Maarten Slendebroek says: “This has been achieved against a backdrop of market uncertainty following the UK referendum. Alongside these flows, we […]

Guide cover

Guide: Johnson Fleming produces auto-enrolment checklist

For a job as big as managing the auto-enrolment changes, it’s important to know what has been completed and what still lies in front of you to give you the reassurance that everything is in hand. Getting the planning and project management right at the outset can help you see the path ahead and ensure everyone knows their roles and responsibilities. To help with this, Johnson Fleming has produced a checklist outlining every step that needs to be taken when preparing for auto-enrolment.


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm