For financial professionals in the UK

Fund Manager August 2021 Commentary – Henderson Opportunities Trust

Laura Foll, CFA

Laura Foll, CFA

Portfolio Manager

James Henderson

James Henderson

Portfolio Manager

30 Sep 2021
2 minute read

During August, the Trust’s net asset value (NAV) grew 5.0%, outperforming a 2.7% rise in its FTSE All-Share benchmark and a 4.4% rise in its peer group, the AIC UK All Companies Sector.1 At the stock level, this outperformance was driven by a combination of takeover interest from private equity companies in software company Blue Prism, as well as good trading updates from companies such as Marks & Spencer, Vertu Motors and Next Fifteen Communications. We continue to be encouraged by what we are hearing from companies in trading updates; in many cases sales and earnings have recovered faster following the pandemic than management teams and the market were anticipating.

While the Trust’s NAV grew well during the month, the share price increase of 1.4% underperformed the rise in NAV of 5.0%, causing the discount to NAV to widen. We are not aware of a large seller of the Trust, and some (although not all) Trusts in the peer group have also seen their discounts widen during the quieter summer months. The Board continues to regularly review share buyback opportunities where they would be marginally enhancing to existing shareholders, and during the previous financial year bought back shares when the discount was greater than 15%. The Board continues to believe, however, that the best route to eroding the discount over time is investment outperformance.



1 Source: Henderson Opportunities Trust factsheet and Morningstar as at 31.08.2021

Net Asset Value (NAV) Expand

The total value of a fund’s assets less its liabilities.

Private equity Expand

Investment into a company that is not listed on a stock exchange. Like infrastructure investing, it tends to involve investors committing large amounts of money for long periods of time.

Discrete year performance % change (updated quarterly)Share priceNAV
30/06/2020 to 30/06/202173.263.7
28/06/2019 to 30/06/2020-16.8-16.2
29/06/2018 to 28/06/2019-7.1-7.4
30/06/2017 to 29/06/201822.321.9
30/06/2016 to 30/06/201727.327.8

All performance, cumulative growth and annual growth data is sourced from Morningstar.


These are the views of the author at the time of publication and may differ from the views of other individuals/teams at Janus Henderson Investors. References made to individual securities do not constitute a recommendation to buy, sell or hold any security, investment strategy or market sector, and should not be assumed to be profitable. Janus Henderson Investors, its affiliated advisor, or its employees, may have a position in the securities mentioned.


Past performance does not predict future returns. The value of an investment and the income from it can fall as well as rise and you may not get back the amount originally invested.


The information in this article does not qualify as an investment recommendation.


Marketing Communication.






Important information

Please read the following important information regarding funds related to this article.

Before investing in an investment trust referred to in this document, you should satisfy yourself as to its suitability and the risks involved, you may wish to consult a financial adviser. This is a marketing communication. Please refer to the AIFMD Disclosure document and Annual Report of the AIF before making any final investment decisions.
    Specific risks
  • If a Company's portfolio is concentrated towards a particular country or geographical region, the investment carries greater risk than a portfolio that is diversified across more countries.
  • Some of the investments in this portfolio are in smaller company shares. They may be more difficult to buy and sell, and their share prices may fluctuate more than those of larger companies.
  • This Company is suitable to be used as one component of several within a diversified investment portfolio. Investors should consider carefully the proportion of their portfolio invested in this Company.
  • Active management techniques that have worked well in normal market conditions could prove ineffective or negative for performance at other times.
  • The Company could lose money if a counterparty with which it trades becomes unwilling or unable to meet its obligations to the Company.
  • Shares can lose value rapidly, and typically involve higher risks than bonds or money market instruments. The value of your investment may fall as a result.
  • The return on your investment is directly related to the prevailing market price of the Company's shares, which will trade at a varying discount (or premium) relative to the value of the underlying assets of the Company. As a result, losses (or gains) may be higher or lower than those of the Company's assets.
  • The Company may use gearing (borrowing to invest) as part of its investment strategy. If the Company utilises its ability to gear, the profits and losses incurred by the Company can be greater than those of a Company that does not use gearing.