Fidelity Special Values Share Discussion Threads

[steve3sandal1] 26/9/2024 10:31

I bought an initial holding earlier this week. Interesting podcast. I found myself in full agreement and it adds to my contrarian SMID basket so I have another horse in the race.

[speedsgh] 25/9/2024 13:32

This recent interview with Alex Wright on the Merryn Talks Money podcast is definitely worth a listen.





Looking for long-term outperformance? Sell the US and buy the UK. That’s the view of Fidelity’s Alex Wright, who joins this week’s Merryn Talks Money. As Wright points out, the UK market is very good for a contrarian looking for value plus a little momentum.

Also in the episode, Wright discusses the opportunities in banks, life insurers and tobacco companies, and why he thinks Tesco is a good buy.

[biggest bill] 19/8/2024 06:40

An article from the manager.

[mancman1] 12/7/2024 06:51

Has been tracking FTSE 100 for some time, but in July seems to have broken out above the FTSE.

[this_is_me] 12/7/2024 06:43

NAV and share price going up steadily.

[this_is_me] 08/5/2024 06:40

Finally the NAV and share price are firmly on the up.

[jong] 30/11/2023 12:15

XD today. 6.27p per share payable on 10 January 2024.

[this_is_me] 21/9/2023 07:27

This is the third time this year that the NAV has hit £3. Surely this time it will keep going up.

[topvest] 07/6/2023 19:23

I was listening to Alex Wright at Fidelity Special Values today. I must admit to liking his style at present.

This makes you think.

Diageo is on a 52 week low. It's on a forward P/E of 19 and valued at 9x book value yielding just 2.5%. Analyst consensus are flat to down a bit.

Barclays is at a similar price level to a year ago, is on a P/E of 5 and valued at 35% of book value with a prospective yield of 6%. Analyst consensus estimates have been increasing.

Question 1 - which is the better quality company? Easy, it's obviously Diageo.
Question 2 - which is the better investment at a 4% 10 year bond rate? More tricky. I might have to say Barclays, even though its a dreaded too big to fail bank!

Any thoughts? Alex Wright is big on banks such as Barclays and NatWest along with Phoenix, Aviva and Impreial Brands. All reasonable quality very high yielding stocks at very low valuations.

[this_is_me] 17/4/2023 06:44

After a dip NAV is now back above £3

[this_is_me] 06/1/2023 07:17

NAV hits £3.

[topvest] 11/11/2022 18:15

Yes, I’m quite surprised by the current bounce in markets. Is it the start of a bull market or a bear market rally?

[this_is_me] 11/11/2022 07:20

NAV and share price going up.

[alan pt] 23/5/2022 08:38

AB had absolutely the right idea, but underestimated the challenge in how differently things worked and some of the different risks

It wasn't the greatest end to a career, but at the time it seemed like the China "unretirement" was more about him being excited by the opportunity than any kind of hubris and it was clear to investors that it was a high risk opportunity

But then I made plenty of money on his special situations fund and lost none on China, so maybe that's why I still think well of him :)

[spectoacc] 23/5/2022 07:49

FCSS rescued by Dale Nicholls tho - AB had moved to HK thinking he could do in China what he'd done in UK, only to get caught in some Northwest Bio-style frauds.

Eg:


Unlike Woodford - and so far, BG - AB did at least admit he was wrong and move on (or was pushed?). Woodford as hubristic as ever in the way he keeps trying to restart, and difficult to see BG changing course even if the outside chance of an SMT blow-up comes to pass.

Nick Train another interesting one.

[topvest] 22/5/2022 19:50

Interesting - I think quite a few have that view, but not me. FCSS went on to be very successful and the drawdown was temporary, versus Woodford where he permanently destroyed capital. I think AB did well with FCSS, but the market timing was off. His successors have done very well using the same style. China is volatile. China now - nothing works and FCSS is again under pressure. Things will change again, that's for sure.

[spectoacc] 22/5/2022 16:42

I ended up hating AB :)) The hubris - and downfall - with FCSS was Woodford-esque, albeit pre-Woodford!

But point taken - and agree as a buy-and-forget it's surely a decent punt, biased strongly to value.

[topvest] 22/5/2022 07:34

Nothing particularly special that can't be replicated but I like holding an investment trust portfolio for the long term and I think most of the Fidelity trusts are good. This and Fidelity European are my favourites - both originally Anthony Bolton vehicles. Good stock pickers, albeit not quite as good as Anthony Bolton.

[spectoacc] 22/5/2022 06:45

Unusual to see "CFD of.." in the holdings - avoiding too much stamp duty on the chopping & changing makes sense.

But still not convinced "Fidelity's Wright" has anything "special" that can't be replicated.

[topvest] 21/5/2022 18:35

I think this trust will do better than most for what its worth. Its had a tough time of late, but style wise there is a clear rotation going on.

[alan pt] 21/5/2022 16:45

Those holdings move around quite actively though and with good success. It's almost the polar opposite of Train.

This and LWDB are my main UK trusts (ex property & infra), it's a nice alternative to a FTSE all-share tracker as a core holding

[spectoacc] 21/5/2022 13:23

CityWire gave it a nudge in their Trusts round-up, pointing out the discount. c.10% is 9yr low, albeit it's been there in 2012, 2014, 2016, 2020 too. But not lower.

0.72% ongoing charge (says HL) yet what's special about the holdings? No great conviction - top holding Fidelity Liquidity Fund at 9%, which I assume is cash-esque (yet still attracting the fee). Then AV 4%, SRP 4%, Fidelity US 4%, Sanofi 3.5%, IMB 3.2%, DCC 3%, Shell 3%, PHNX 2.7%. (All HL & doubtless out of date).

I want either conviction (eg MNL), or something I can't easily replicate (eg Japan fund, property etc).

[alan pt] 25/2/2022 21:59

Cowie is an entertaining writer, but not normally the greatest investment picker

Still, he might be right on this one, took the opportunity to top-up yesterday!