Herald Investment Trust


Herald is mostly invested in tech companies but they are all relatively spread. The fund is well spread with almost 300 holdings. The discount is around 18%. Anybody have a view on this trust please.


Katie Potts has managed this for years and is well-regarded. Note that (a) they have a lot of holdings so you are betting on the sector more than on their stock picking. I like the fact that they charge their fees to the revenue account. So much better than following the common practice and flattering the yield by charging part of those costs to capital.


In the past performance has fantastic, but it has been a bit sluggish of late. It mostly invests in UK tech stocks, but it also invests in media and advertising companies. Because of this is isn’t included in the same sector as Allianz Technology and Polar Cap Technology, which I think is a strange anomaly.

It is good if you want to invest in essentially small cap UK tech and media stocks, in fact it’s the only trust or fund of any kind that invests solely in these sectors.

Katie Potts has managed it forever and has a large personal stake, which is always reassuring to see.


Thanks Caspar. I think I will make an investment but I will hold off buying for awhile as I am expecting a downturn. I think the worry is the very large spread is stocks, almost 300


Thought to see more about Herald here, bet you wish you’d invested back in March, and seen its biggest rise for many years. 20% in 7 months. Can such momentum continue?


I invested in MNL, another tech based IT. Up 25% since my investment


Wow, I missed that. I remember looking at this trust a while back when it was treading water, though the long term numbers were looking good. I think it’s a bit under the radar this one, independently managed, not promoted or talked about much in the press or online.


MNL is a good opportunity to buy big tech at a discount


MNL @shetland isn’t that London & Manchester? I’m a bit confused, I thought this was about Herald.


It’s Manchester and London. I was simply offering a tech alternative to HRI


Not a trust I’m familiar with @shetland. What do you like about it? I don’t think I’ve ever heard of it.


Herald has a mandate to invest across a broad spectrum of British tech/telecom/media companies. Not investing “too much” in any of them. So they will never over-invest in either a success or lose too much in a failure. It could be called a UK tech tracker. Some say tracking the market is more profitable than following an “Active” fund. Well, someone who can be half way good, beats the bottom half, by definition. Some people say that all a fund manager has to do is be just a little bit above average. (Of his peers) As an investor, I am looking for a return on the money I entrust to the manager. I invest in a sector - broad, or limited. UK smaller co’s. UK all co’s, UK FTSE - to name just three - all are tech. - to some extent.
I think the boost to the Herald share price came from the recent influence of the USA where IT co’s have more voom
Comparing Herald to Alliance or Polar Tech, is like comparing Britain to the USA.
So, Herald, after being pretty flat for years, jumps in value, after a tie up to USA, then what. ?
Herald will never be anything more than an Average tracker, until it has some conviction and backs some Winners in the small co tech sector. Yes, well that is easier said than done, but why do we investors put our money in …Why pay for a manager to buy the whole market and not one who can chose some more companies that will succeed.?