BP Stock – three resurgent funds tipped by the experts
Jupiter UK Special Situations
Rory Maguire of Fundhouse, a research firm, said this was a similar fund to the Schroders portfolio. “In fact the current managers of both used to work together in the same team, when Ben Whitmore, now at Jupiter, was at Schroders,” he said.
Almost a quarter of the £2bn fund is held in financial stocks but top holding BP has been the standout. Although shares in FTSE 100 oil stocks are yet to regain their pre-pandemic levels, a recovery in the price of Brent crude has helped them rebound this year. BP has been the pick of the sector, up 20pc.
JOHCM UK Dynamic
Alex Savvides, manager of this £1.1bn fund, is focused on finding companies with catalysts for improvement such as new management or reorganisation.
Mr Morgan said while the fund had a value focus, Mr Savvides also focused on companies’ growth potential. “He also emphasises growth qualities, such as strong brands and competitive advantages and the companies must pay a dividend, which helps ensure they are more disciplined when it comes to cashflow,” he said.
Darius McDermott of FundCalibre, the research firm, said the fund’s holdings in service-led companies were hit hard in the pandemic but Mr Savvides had been active in the turmoil, supporting fundraising by strong businesses that needed cash but selling stocks he believed had little chance of recovery.