How mega IPOs have lifted the UK's biggest investment trusts

Some of the UK's most prominent investment trusts received a performance boost last year from their positions in unquoted companies, one of which went on to launch the largest IPO in history.

The trusts benefited from a strong year for private equity investment in 2014, relative to other equity investments. During the period, private equity trusts returned 8.03% and venture capital trusts rose 6.72% on average. Meanwhile, the FTSE 100 and FTSE All Share only managed growth of 0.74% and 1.18% respectively, while the FTSE Small Cap index fell 2.68%.  Tom Slater (pictured), co-manager of the £3bn Scottish Mortgage trust, said he has often finds value by investing in companies before public listing. He said: “We want to get hold of these companies as early as we can in the...