Capital Growth Fund
Designed to provide growth through investment in international equities and UK bonds
Latest fund prices and yields
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How does the Capital Growth Fund work?
The Capital Growth Fund aims to grow your capital in the medium to long term by holding a mixture of cash, equities and fixed-interest securities from around the world. Most of its investments are in UK securities but it also invests in Europe, the US and the Far East.
You can invest anything from £1,000, or as little as £50 per month with our regular savings plan.
You can check your investment value online at any time with our online portfolio service, or request a paper statement.
Whenever you want to access your money, just sell some or all of your shares in the Fund — there are no penalty fees.
We have a dedicated call centre where you can speak directly to a fund representative.
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What's the level of risk?
Progressive: For the investor looking to achieve real long-term capital growth/income. There is an increased risk of loss to capital. Income and growth may fluctuate and you may get back less than you invested.
Read our guide to the different risk levels.
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What will I be investing in?
Equities: the Capital Growth Fund buys shares in companies that the Investment Manager thinks are undervalued. Most of the Fund's value (typically around 60%) is in UK companies.
Bonds: the Capital Growth Fund also invests in bonds.
Cash: the Capital Growth also invests in cash.
Read our guide to the different types of investment.
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How long should I plan to invest for?
You should plan to invest for the medium or long term, with money that you won't need to use in the next 5 years.
A short-term investment in equities has a very high level of risk, as markets are volatile. All equity investments carry less risk over the longer term.
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Who is the Capital Growth Fund for?
Choose the Capital Growth Fund if you're looking for:
- long-term capital growth: you're planning to invest for 5 years or more and you don't need a quick return or a regular income from your investment.
- a wide spread of investments with a UK focus: the Fund's main activity is investing in UK companies, but it balances this with international investment and other asset classes.
- a balance of risks and potential returns: you are prepared to accept the possibility that your investment will fall in value in the short term.
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Who is the Capital Growth Fund not for?
The Capital Growth Fund is not the right choice you if:
- you want to focus your investment: if you're looking to invest in a single region or asset type, take a look at our other growth funds.
- you need a regular income from your investment: if you need a regular, predictable income — for example, to supplement a pension — take a look at our income funds.
- you want to protect your capital: if you're looking for a very low risk investment, find a fund that suits you using our Savings and Investments Finder.
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How to apply
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It should be remembered that the value of shares and the income from them can
go down as well as up and cannot be guaranteed. An investment in a currency
other than the shareholder's own base currency or in a fund that invests in
securities denominated in currencies other than its base currency will be
subject to the movements of foreign exchange rates, which may cause an
additional favourable or unfavourable change in value. Consequently, investors
may, on selling their shares, receive an amount greater or less than their
original investment.