These include the old leviathans, the old originals - trusts like Alliance, Foreign and Colonial, Witan. Traditionally cautious, and not given to paying out large or even moderate dividends, the leviathans have struggled in recent years, and discounts have widened.
There are other, perhaps more nimble trusts in the field. There's British Empire Securities (pre 1903 the Transval Mortgage Loan Co), still flying the flag. British Empire has shown an average increase of NAV of 13% a year since 1985. There's Scottish American, affectionately called SAINTS, and Jupiter Primadona, the darling of knowledgeable small investors in the past.
All in all, though, Moneybox Man likes Scottish Mortgage, a very old trust and a flagship for Baillie Gifford Management. It prides itself on being low cost (Total Expenses Ratio of only 0.51%) it has a satisfactory yield of 2.39% and is on a very tempting discount of 14.7%. It has a lot of money in China, and also, curiously, in Sweden. He also likes J.P. Morgan Overseas Investment Trust with a TER of 0.63 and yield of 1.76% and a discount of 7.5%. Highly-regarded manager Jeroen Huysinga (pictured) took over a year ago with the brief to improve performance. Last but not least is Moneybox Man favourite Murray International, which believes in a solid dividend. Manager Bruce Stout says: "High quality corporate earnings and well funded dividends will become even more important if, as we expect, investors resolve is about to be tested by what remains a very fragile economic backdrop." This brilliant trust is at a premium of about 2%, but Bruce Stout's expertise cannot be bought elsewhere.
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