Why Lowland's Henderson and Foll are backing these 'out-of-favour' stocks

James Henderson and Laura Foll, managers of the Lowland investment company, have named Glencore, Rolls-Royce and Shell as attractive investment opportunities, despite short-term troubles at these firms.

The managers of the £356m trust are increasing their large-cap exposure, despite seeing better dividend growth from smaller and medium-sized companies.  They have been adding to holdings in "out of favour" Glencore, Rolls-Royce and Shell, the latter being the trust's third largest holding at 2.6%. Henderson (pictured), who has run the trust for more than 25 years, said: "Good quality companies like these come out the other side during downturns, and then investors have to relearn their disciplines. As a value investor, you buy now, rather than then." Foll added: "We try to be a bit...