A disappointing year but Scottish Oriental is still a long term hold


#1

Originally published at: http://whichinvestmenttrust.com/a-disappointing-year-but-scottish-oriental-is-still-a-long-term-hold/
Scottish Oriental Smaller Companies trust has a fantastic long term record but it invests in an out of favour sector. So how does it rate for long term investors – and should you invest now or could there be further trouble ahead? Fast Facts Long established Invests in small and medium sized Asian companies New…


#2

With the change in manager from Angus Tulloch who was fantastic, and the US interest rate issue still to happen I’d stay away from this right now. I’m sure there’ll be a better time to pick this up for less.

I do agree that it’s a good place to be invested for the long term though.


#3

I don’t think it’s the best time to buy in to this either @wallace but it is a pretty tempting option the day after US rates rise me thinks.

I’d like to see how Wee-hi manages without either Tulloch or Susie Rippingall to call upon.


#4

Be interesting to contrast it with the similar Aberdeen fund they mention in the article. I wonder if maybe now the manager has left Scottish Oriental if the Aberdeen fund will be better.

I agree though that I don’t want to buy either until the Americans finally increase interest rates #GetAMoveOn FederalReserve


#5

If you read the Aberdeen interview in Singapore Favia the Aberdeen fund manager is quite upfront about American interest rates being a bit of a problem for Asia and emerging markets.

I like this trust but best to wait buying it or the Aberdeen trust until rates rise I think.


#6

I’m agree with that @khalidkhan. Unless you’re investing on a monthly basis in which case it’ll even itself out I wouldn’t invest a lump some in to and Asian or an EM fund right now.

I think this is a fantastic choice though for when you do decide to invest.


#7

I like being contrarian so I am looking very closely at this. James Henderson recently added :blush: . I would say that you only catch all of the upside when you are in early! This trust has proved to be more defensive than Aberdeen’s collection but a change of management will change the outcome over time.


#8

So trust @james_pigott, it’s like that old adage, you can’t call the bottom ot the top of a share price but you know when it is cheap and when it is dear. Right now it’s cheap, how long it will be cheap for no one knows, could it call further, yes, but in the long term will it do well, that’s fairly likely.

As it is so hard, even impossible to time the best time to invest, it’s more about luck, a sensible fellow consider if it is cheap or dear.

Scottish Oriental is cheap right now and likely to do well again in the future, all be it, the new management will make a hard to quantify difference as James states.


#9

I think this will be a buy after the USA increases their interest rates, but I wouldn’t buy until then.

Fantastic long term performance here, I am a little bit worried about Angus Tulloch no long being involved but I’d be prepared to take a punt on Wee-Li Hee because she’s been involved for so long.


#10

If Janet Ellen increases the Fed’s rates next week keep a close eye on this and get ready to pounce. This is a great long term hold that invests pretty conservatively when you consider it’s investing in an inherently riskier type of asset.