Current location:Global Gateway news portal > business
Why Temple Bar backs cheap shares like M&S, BP and Royal Mail: INVESTING SHOW
Global Gateway news portal2024-05-19 17:03:57【business】5People have gathered around
IntroductionWhen the value-minded managers of Temple Bar bought into Marks & Spencer shares, some questioned
When the value-minded managers of Temple Bar bought into Marks & Spencer shares, some questioned their sanity.
With M&S shares having almost trebled from 90p to 250p over the past 16 months, that’s not the case anymore.
‘The market has gone from hating Marks & Spencer two years ago – people used to say you’re absolutely crazy to own that – to actually quite liking it,’ Temple Bar’s co-manager Ian Lance told This is Money's Investing Show.
But Lance adds that those big gains come from a low baseline level and the Temple Bar team believe Marks & Spencer is still closer to the start of its recovery journey than the end - with more shareholder returns to come.
On the first episode of a new series of the Investing Show, Ian Lance joins Simon Lambert to explain the investment philosophy that has seen Temple Bar return 80 per cent since he and Nick Purves took over as managers at the end of October 2020.
Lance believes this investment strategy has plenty more to come, stating that the UK market is as undervalued as it was in 2008.
He admits that the duo benefitted from lucky timing in taking over the trust just before the Covid vaccine rally kicked in. Yet, he stresses that their value investing style doesn’t involve just buying the market but cherry-picking individual undervalued companies
Temple Bar looks for the ‘cheapest stocks, with the best prospects’ and Lance outlines why the tight portfolio of about 25 companies includes M&S, BP and Royal Mail-owner IDS.
He also explains Temple Bar’s contrarian backing of car maker Stellantis – and why he would rather hold the conglomerate that owns Peugeot, Vauxhall, Fiat and Alfa than Tesla stock.
But that’s not to say that value investors can’t stray into the tech world, according to Lance.
He details how he once held Microsoft stock because it fitted into the value investing philosophy and discusses whether Facebook parent Meta managed to make that bracket when its share price nosedived in 2022.
Temple Bar investment trust
AIC Sector: UK Equity Income
Managers: Ian Lance and Nick Purves (since end October 2020)
Ongoing charges: 0.54%
One-year total return: 0.8% vs -0.6% AIC sector average
Three-year total return: 43.3% vs 23.2% AIC sector average
Dividend yield: 4.02%
Share price discount to NAV: -5.55%
Figures from AIC / Morningstar to 29 January 2024
Address of this article:http://georgia.antjekoch.com/html-51a799939.html
Address of this article:http://georgia.antjekoch.com/html-51a799939.html
Very good!(1113)
Related articles
- Experts strategize to elevate Chinese sci
- Inside British Airways' HQ control room
- Israeli army carries out airstrikes on eastern Rafah
- Mike Trout decided having surgery was better option than being only a DH
- Militia clashes rock western Libyan town. At least 1 civilian was killed, officials say
- Harris congratulates HBCU graduates in video message for graduation season
- Hopes are fading for 44 workers still missing days after South Africa building collapse; 9 are dead
- Ted Danson, Woody Harrelson, Jon Stewart to premiere new podcasts in early June
- New art space integrates art with technology
- Drake shares cryptic post amid ugly feud with Kendrick Lamar
Popular articles
- I masterminded the plot to blow up Lord Mountbatten: Ex
- Prince William rocks his shades as he visits a surf beach in Cornwall
- For Israel’s contestant, the Eurovision Song Contest comes with tight security, boos and cheers
- Rangers put reliever Josh Sborz on IL for the 2nd time this year with right rotator cuff strain
Recommended
Soto's 2 homers, Gil's 14 strikeouts lead Yankees over White Sox 6
AP Week in Pictures: Asia
Prince William rocks his shades as he visits a surf beach in Cornwall
WNBA to use charter flights full time in upcoming season, addressing player safety concerns
Oleksandr Usyk beats Tyson Fury to become undisputed heavyweight champ
PR executive reportedly departs China's Baidu after comments glorifying overwork draw backlash
Jeremy Allen White shares a FIRST LOOK of The Bear's third season
Mississippi governor signs law to set a new funding formula for public schools
Links
- The proof going vegan ISN'T better for you? Study finds plant
- China to launch construction, expansion of major cultural facilities
- HKSAR LegCo unanimously passes milestone bill to better safeguard national security
- Israel vows 'appropriate response' if Iran attacks its territory
- China to take multiple measures to upgrade basic education: Minister
- Lorenzen goes 5 innings in Texas debut as Rangers blank Tigers 1
- Antique book archive inaugurated in Beijing
- China's GDP grew 5.3% in Q1, beating expectations
- East China's Suzhou to hold cultural event in Singapore
- Bader drives in go