No Comments Recently7 Oct 2010 17:20
Some years ago I decided to invest in another Investment Trust and carefully studied details of all the larger trusts. Eventually I decided on ALLIANCE, because-
1. Charges were very low, being the lowest of any trust which I had examined.
2. The shares stood at a considerable discount to the value of the underlying shares, this I hoped would probably be corrected in time, or even possibly lead to a takover at a better price, as had happened with my shares in another large trust!
Since then I have several times added to my Investment in Alliance, and persuaded my wife also to buy the shares
Unfortunately we have been Very Disappointed, There have been of many changes in Management and in Methods, the charges have become much higher, and as a % of assets they have trebled , or more, The shares have lagged behind similar large General Trusts, and have reverted to standing again at a Discount of around 20%.
There has been no takeover (yet) perhaps the trust is just too large.
A well known stockbrokers send me their monthly Handbook, this always contains a short review of Alliance and has consistantly criticised them each Month.