EQS-News: / Key word(s): Research Update/Research Update
Henderson EuroTrust (HNE): Initiation – Searching for mispriced quality

26.01.2023 / 08:00 CET/CEST
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London, UK, 26 January 2023

 

Henderson EuroTrust (HNE): Initiation – Searching for mispriced quality

Henderson EuroTrust (HNE) provides relatively concentrated exposure to a portfolio of continental European (ex-UK) equities. The trust has been solely managed by Jamie Ross since February 2019, although his involvement with HNE dates back to 2016, alongside former longstanding fund manager Tim Stevenson. Ross is part of a well-established, collegiate European equities desk at Janus Henderson Investors (JHI) that covers the breadth of available opportunities in the region. The investment process blends exposure to companies with traditional quality characteristics like high and sustainable returns on equity, barriers to entry and proven and effective management that are labelled ‘compounders’ with a generally smaller allocation to those that are transitioning into quality companies where the prospects for improvement are mispriced (‘improvers’).

 

HNE has historically traded at a high single to low double-digit discount, which we believe is unjustified. In our view this can be attributed to a number of factors such as the trust’s size relative to some peers, which can deter quasi-institutional buyers like wealth managers, and the relatively low profile of HNE in the investment community. We believe the market is overlooking the differentiated, efficacious investment approach, which has been consistently applied to good effect by the two fund managers, together with fees that are below the AIC category average.


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Language: English
Company:
Germany
EQS News ID: 1543735

 
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1543735  26.01.2023 CET/CEST

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