Woodford reveals Income Focus fund holdings


Neil Woodford has reaffirmed his faith in the UK domestic economy as he unveils the entire portfolio of his Income Focus fund, which launched in April.

Like the top five holdings in his Equity Income fund, Woodford has included AstraZeneca, the largest holding in both funds, as well as Legal & General, Imperial Brands and Provident Financial.

AbbVie replaces British American Tobacco as the final stock in the top five.

The full 50 holdings are published on the Woodford Investment Management website.

Woodford says: “In the run up to the launch of the Income Focus Fund I had said that I believed there was an attractive domestic opportunity, in part because people were too downbeat about the UK economy.

“The new portfolio is a manifestation of this view but in a more income-focused way.”

Lloyds, which Woodford last week confirmed he had initiated a position in, accounts for 2.7 per cent, making it sixth largest holding, whereas it represents the eleventh largest holding in the Equity Income fund.

“The bearish mood has resulted in very big share price falls in some domestic cyclical sectors and it is this opportunity set that I see in the stock market right here, right now.

“I have been taking advantage of some of the depressed valuations in domestic cyclicals, selectively buying stocks in sectors such as house builders, banks, construction, building materials and property for the new fund.”

The fund raised £553m during the offer period and aims to deliver income of 5p per share per annum.