In the financial press these past few days, the big news that has been making the headlines that Neil Woodford a highly successful fund manager at Invesco Perpetual is leaving to set up his own fund management business.
Neil Woodford runs quite a few funds at Invesco Perpetual, such as the Invesco Perpetual High Income Fund, The Edinburgh Investment Trust and The Invesco High Income fund to name just three.
The Invesco Perpetual High Income Fund, is huge, This fund £13,971 million = £13.971 billion.
£10,000 in 1990 invested The Invesco Perpetual High Income Fund would be worth over £200,000 today.
[http://www.invescoperpetual.co.uk/site/ip/pdf/3303148_EN_GB-ip-hgh-inc-fnd-fctsht.pdf]
The total number of holdings are 122
The Top 10 holdings are:-
AstraZeneca 8.68%
GlaxoSmithKline 8.44%
BT 6.35%
BAE Systems 5.51%
Roche 5.50%
British American Tobacco 5.05%
Imperial Tobacco 4.82%
Reckitt Benckiser 4.42%
Reynolds American 4.32%
Capita 4.18%
This makes 57% of the entire fund.
Very interesting to see BT in the fund, a long term investor in the world’s most dynamic telecoms group, look at the sound fundamentals of BT
With 6.35% of the £13.971 billion fund in BT, that equates to £887million worth of shares in BT held by The Invesco Perpetual High Income Fund. Not entirely surprising having such a high quality investment, as in these times of low interest rates, BT is yielding 2.5%.
Now BT has about 7,910,539,487 shares on issue, so the market capitalisation (value) of BT is 7,910,539,487 x £3.64 (the current share price) = £28,802 million (£28.8 billion)
With the The Invesco Perpetual High Income Fund owning £887 Million worth of shares, that equate to just over 3% of BT.
This fund from Invesco Perpetual owns 3% of BT. Almost certainly other funds from Invesco Perpetual own shares in BT, so one can see, it is a strategic investor in BT Group PLC.