Lindsell Train Global Equity swaps Japanese exchange for Universal Music Group

First portfolio change in two years

The £4.6bn Lindsell Train Global Equity fund has made its first portfolio change in almost two years, exiting the Japanese Exchange Group (JPX) due to its “extreme cyclicality”.

According to the fund's January factsheet, co-portfolio manager James Bullock said the firm has "questioned the sustainability" of the company's trajectory for some time.  One of the fund's holdings since its 2011, JPX has become one of the strategy's top performers with an annualised 17.2% return in sterling during the period.  However, the "healthy" performance has not been a "smooth line", given "big chunks" of returns were delivered between 2013 and 2015 as the Osaka Stock Exchange merged with the Tokyo Stock exchange, improving efficiency and creating a retail trading boom. Li...