Fidelity Special Values PLC: We see potential in the overlooked and underloved
5 April, 2022
Sponsored by Fidelity
By Alex Wright, Portfolio Manager at Fidelity Special Values PLC
This trust has been selected as one of the preferred trusts on AJ Bell's Investment Trust Select list. It also has an Elite Rating by FundCalibre.com.
Portfolio manager Alex Wright’s contrarian approach to the trust thrives on volatile and uncertain markets, when stocks are most likely to be misjudged and undervalued.
What makes this trust different?
"I take a contrarian approach, focusing on unloved and undervalued stocks where I believe the market has overlooked the potential for recovery"
Investing mainly in the UK, and supported by Fidelity’s extensive research team, Alex looks to invest in out-of-favour companies, having spotted a potential trigger for positive change that he believes has been missed by others.
Turning insight into opportunity
Equity markets at both home and abroad have experienced significant volatility in recent months. While lower valuations could represent a great buying opportunity, it’s also essential to recognise that not every undervalued situation is special. Some unloved stocks are cheap for good reason.
Special situations investing requires rigorous analysis and due diligence to back each position and this kind of proprietary research has long been the cornerstone of our investment approach. Our network of 394 investment professionals around the world place significant emphasis on questioning management teams to fully understand their corporate strategy. They also take time to speak to clients and suppliers of companies in order to build conviction in a stock.
It’s a consistent and disciplined approach that has worked well; the trust has significantly outperformed the FTSE All Share Index over the long term both since Alex took over in September 2012 and from launch 27 years ago.
To find out more, visit fidelity.co.uk/specialvalues.
Past performance
Past performance is not a reliable indicator of future returns.
Source: Morningstar as at 31.01.2022, bid-bid, net income reinvested.
©2022 Morningstar Inc. All rights reserved. The FTSE All Share Total Return Index is a comparative index of the investment trust.
Important information
The value of investments can go down as well as up and you may not get back the amount you invested. Overseas investments are subject to currency fluctuations. The shares in the investment trust are listed on the London Stock Exchange and their price is affected by supply and demand. The Trust can use financial derivative instruments for investment purposes, which may expose it to a higher degree of risk and can cause investments to experience larger than average price fluctuations.
The investment trust can gain additional exposure to the market, known as gearing, potentially increasing volatility. The trust invests more heavily than others in smaller companies, which can carry a higher risk because their share prices may be more volatile than those of larger companies and the securities are often less liquid.
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The latest annual reports, key information documents (KID) and factsheets can be obtained from our website at www.fidelity.co.uk/its or by calling 0800 41 41 10. The full prospectus may also be obtained from Fidelity. The Alternative Investment Fund Manager (AIFM) of Fidelity Investment Trusts is FIL Investment Services (UK) Limited. Issued by Financial Administration Services Limited, authorised and regulated by the Financial Conduct Authority. Fidelity, Fidelity International, the Fidelity International logo and F symbol are trademarks of FIL Limited. UKM0222/370477/ISSCSO00062/NA
