Three investment trust specialists: Our top picks amid widening discounts

Private equity and property trusts are offering investors an attractive entry point currently according to analysts, as market volatility has led to average discounts widening by more than 4.5% in these sectors in the first few weeks of the year.

Average discounts in the investment trust universe widened between 3.9% and 6.25% in January as record low oil prices and concerns about global growth and China negatively impacted markets. According to Association of Investment Companies data, the hardest-hit sector was direct property focused on Europe, which saw average discounts widen by 5.98%. Private equity-focused trusts also took a hit and saw discounts of around 4.5% on average. The healthcare and UK growth sectors saw the smallest level of de-rating. No equity subsector is trading on a premium at present, however. For som...