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The People's Trust announces full manager line-up ahead of September IPO

Former Investment Association head Daniel Godfrey plans to launch his investment trust in September
May 25, 2017

In 2015 Daniel Godfrey was ousted from his position as chief executive of the Investment Association (IA), the trade body that represents UK investment managers, after clashing with members over his attempts to increase industry transparency on fund costs. But far from leaving the industry, since then Mr Godfrey has crowd-funded more than £115,000 from more than 2,300 'founders' to set up The People's Trust, which he says will offer investors an alternative model to the short-termism within the fund industry. The investment trust's initial public offering (IPO) is due in September.

The People's Trust will target a return of consumer prices index inflation plus five per cent a year, after costs, over a seven-year period. Mr Godfrey says that assuming inflation averages 2 per cent a year, the target nominal return will be 7 per cent a year compound over seven years.

The People's Trust will have a multi-manager structure whereby external managers will run its portfolio. These have been selected by Willis Towers Watson, the investment advisory business that has also been employed by Alliance Trust (ATST) to select its underlying managers, and which Witan Investment Trust (WTAN) has used to help with research on its underlying managers. Both these trusts also have a multi-manager structure.

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