Richard Woolnough – M&G Corporate Bond
Investing in bonds can be challenging, but Mr Woolnough has done a good job for investors over the past decade with his £3.5bn fund. Mr Younes said the portfolio had beaten its average rival through “effective bond selection”.
The fund has tended to make calls about the markets in addition to individual bond analysis. Mr Woolnough was one of the first fund managers to reinvest in the banks following the collapse in 2008 and has continued to invest in tobacco companies. “He has taken a lot of risk more recently, which has paid off,” Mr Younes said.
John Pattullo and Jenna Barnard – Janus Henderson Strategic Bond
Another bond fund with an excellent long-term record, this £3.1bn “strategic” – or unconstrained – portfolio has beaten its rivals over one, three, five and 10 years.
Paul Angell of Square Mile, a fund ratings firm, said the managers had proven themselves over a long period and had been through many different types of market.
The fund aims to provide investors with a high total return, combining capital growth with income, and invests across the range from “junk bonds” to government bonds. The fund has performed well so far this year as it was defensively positioned going into the Covid-induced sell-off in March.