Star fund manager Neil Woodford is putting his money on property giants in the UK, the latest tally of his portfolio holdings has revealed.
Mark Dampier, head of research, Hargreaves Lansdown, said that the high-profile fund manager's portfolio shows he's upbeat about the UK economy.
"There’s more than a whiff of optimism about the UK economy in Neil Woodford’s new portfolio, which suggests a shift in his market outlook. He doesn’t have a crystal ball, but his reading of the big macroeconomic picture has been uncannily accurate in the past.
"Woodford appears to be playing the UK economy in large part via the property sector, with a number of REITs and housebuilders featuring in the portfolio, not to mention Lloyds which has exposure to the UK property market through its mortgage book.
"The list of holdings in the new fund is much shorter than in the Woodford Equity Income fund, which has a long tail of smaller growth companies. However both funds demonstrate a high conviction approach to investing, with punchy positions in the biggest stocks in the portfolio."
"Delivering a high and growing income is no easy task and to deliver results the manager will have to get his stock selection right, as well as his call on the UK economy. Ultimately we will only be able to measure the fund’s success in the years to come, but Neil Woodford’s exceptional track record lends confidence. Our initial feeling is that Neil and his team have certainly grasped the bull by the horns and are backing their convictions.’
Last week it emerged that Woodford had bought £200m in shares in Lloyds bank while he sold off the remainder of his fund's £1.2bn stake in GlaxoSmithKline earlier this month.
Here are the top nine property firms Woodford has invested in:
|2.52 per cent|
2.50 per cent
|NewRiver REIT||2.08 per cent|
|Sirius Real Estate
|1.52 per cent|
|1.25 per cent|
|1.22 per cent|
|Bovis Homes||1.15 per cent|
|One per cent|
|Regional REIT||0.27 per cent|