Jupiter’s Merlin multi-manager team has taken a position in Terry Smith’s £532m Fundsmith equity fund within its £770m Jupiter Worldwide portfolio.
The fund has been added as the team of John Chatfield-Roberts, Peter Lawery and Algy Smith-Maxwell look to boost their exposure to the “global titans of the corporate world”.
Smith launched the Fundsmith equity fund in 2010 as a high conviction, low-cost equity fund. The fund is currently top quartile in the Investment Management Association global sector over 12 months, having returned 23.2 per cent, compared to a sector average of 10.1 per cent.
The team has also added the £481m Morgan Stanley Global Brands fund to the £1.7bn growth portfolio to take advantage of the “global titans” theme. Morgan Stanley Global Brands is the best performer in the IMA global sector over three years.
Lawery says: “These two funds offer this, albeit that the underlying companies are not explicitly cheap right now. History is littered with examples of companies that have been too expensive to buy but have remained so and have continued to serve investors well.
“These funds are exposed to growing, solid companies with strong balance sheets and we believe they will continue to do well in the current environment.”