The Company’s investment objective is to seek to achieve long-term capital growth with some potential for income.


Investment Manager’s Commentary

Your Fund returned +1.8% during the month compared to +0.7% for the MSCI World Index NR (£).The Fund’s gains were broadly spread across stocks and sectors.

We recently met the CEO and CFO of Medtronic, a company that Troy first purchased in 2011. Over that period the shares have comfortably outperformed, but recent returns have been dull as the company digested the 2015 acquisition of Covidien. The meeting was a good reminder of the company’s unique strengths. Medtronic was the inventor of the world’s first pacemaker and it retains a big business for the monitoring, regulation and repair of hearts. Yet over the decades the company has become a medical device conglomerate spanning minimally invasive surgery, spinal and neurovascular surgery, and diabetes management. Its technology saves and extends patients’ lives and in each device category Medtronic has commanding market shares. Almost half of its sales come from outside the U.S., with a greater portion coming from emerging markets. In aggregate, the business can grow revenues annually in the mid-single digits and there is some potential for improving operating margins and returns on capital. Medtronic is already large and highly profitable and for these reasons it can afford to make generous cash returns to its shareholders. The company has grown its dividend per share consecutively for over 40 years at a compounded rate of +18% p.a. The dividend yield stands at 2.3% today with a cash P/E of 16.5x. Medtronic remains a core holding for the Fund.


Fund Details
Total Gross Assets: £93,533,631 (As at 30.06.18)
Dealing: Daily
NAV Frequency: Daily
Legal Status: Open Ended Investment Company
IMA Sector: Global
Dividends: February and August
Investment Manager: Troy Asset Management Limited
Authorised Corporate Director: Carvetian Capital Management Limited