"The original is always better" is a phrase that works for a whole host of things.
But in the world of investments trusts, it seems there is little to choose between the old and the new.
Witan (LON:WTAN) one of the UK’s oldest investment trusts, and Woodford Patient Capital Trust (LON:WPCT), which listed in April, reported first half figures today and both were ahead of expectations.
In the six months to 30 June, Witan’s net asset value (NAV) total return was 5.5%, ahead of the 3.6% delivered by its benchmark, while its share price rose 5.8% over the period.
The benchmark it uses is made up of four indices: the FTSE All-Share Index has a 40% weighting, while the FTSE All-World North America Index, the FTSE All-World Europe and the FTSE All-World Asia Pacific Index all comprise 20% of the index's weighting.
Meanwhile, the new kid on the block ended the first half with a net asset value per share at 101.86p, meaning the portfolio recouped initial charges and provided a modestly positive return.
The share price ended the period at 113.5p, a premium of 11.4% to its asset value.
Both trusts are focused mainly in the UK, with Witan chief executive Andrew Bell and chairman Harry Henderson saying its outperformance was, in large part, due to sustained growth both here and in the US.
But both have different methods of investing, with Witan focusing over a quarter of its portfolio on financial firms while Woodford has geared his portfolio more toward pharma and techs.
Also, Witan is focused on large and mid cap companies, while Woodford set up his new fund for small, fast-growing firms.
Some of the smaller companies in the Woodford trust’s portfolio include Silence Therapeutics (LON:SLN), Horizon Discovery (LON:HZD) and Tissue Regenix (LON:TRX).
“Indeed” Woodford said, “our blue-chip holdings have typically detracted from performance thus far, with GlaxoSmithKline (LON:GSK) and AstraZeneca (LON:AZN) in particular showing short-term share price weakness.”
Witan’s shares are also at a premium, 0.8% at the end of June this year, allowing it to issue 4.5mln new shares last year to meet investor demand.
It is less than Woodford’s premium of 11.4%, which can be attributed, in part, to the novelty and anticipation of the latest Woodford portfolio.
Similar to Witan, Woodford is looking to capitalise on the premium by issuing more shares, now the fund is 75% invested.
Ultimately, it appears, no matter which way you go, old or new, large or small, these two funds are delivering the goods.