The investment objective of the Smaller Companies Fund is to grow the real value of investors’ capital and income. Investments will be in global smaller companies, which do not form part of the leading market indices. An equal emphasis will be placed on the generation of income and on capital growth. Real value is defined as the value of capital and income after adjusting for the impact of inflation.
You should intend to invest for a minimum of 3 years, although you can access your capital at any time. The fund is only suitable for investors who are prepared to accept the risk of loss of their capital.
Top 10 equity holdings |
% |
|---|---|
| Technology One (Australia) | 3.6 |
| Weir (UK) | 3.4 |
| Belimo (Switzerland) | 3.3 |
| Xero (Australia) | 3.2 |
| Tokyo Ohka Kogyo (Japan) | 3.1 |
| Deme (Belgium) | 3.0 |
| Robertet (France) | 2.9 |
| Hill & Smith (UK) | 2.9 |
| Rotork (UK) | 2.8 |
| Craneware Plc (UK) | 2.8 |
Target portfolio allocations as at 30 June 2025. Actual allocations may vary.
Top 10 equity holdings are accurate as at 30 June 2025.
| 1 Year | 3 Years | 5 Years | 10 Years | Inception | |
|---|---|---|---|---|---|
| Cumulative Return | -3.5% | 2.4% | 7.7% | 87.2% | 772.6% |
| Cumulative RPI | 4.3% | 19.5% | 37.9% | 55.9% | 134.2% |
| Annualised Return | -3.5% | 0.8% | 1.5% | 6.5% | 9.3% |
| Annualised RPI | 4.3% | 6.1% | 6.6% | 4.5% | 3.6% |
| YTD to 30/06/2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
|---|---|---|---|---|---|---|---|---|---|---|
| Discrete annual returns | -3.3% | 0.5% | 5.4% | -23.6% | 13.0% | 19.2% | 22.9% | -4.1% | 18.7% | 21.3% |
The Annualised Return represents the average annual return of the fund over a set number of years. It is calculated using a geometric average which means that it captures the effects of compounding over the years.
Please note that the returns shown are historic and should not be taken as a guide to or guarantee of likely future returns. Please be aware that the value of investments and the income they generate may go down as well as up.
We manage the Smaller Companies Fund on the same rigorous principles as our private client portfolios. This simple and straightforward approach seeks to identify quality businesses that we can hold for the long term. We do not use market benchmarks to guide our investment allocations. Instead, we focus on making the right decisions to meet the fund’s objectives, without having to follow the herd.
We draw on our team’s collective experience to evaluate the merit of every investment. Allocations are regularly reviewed and actively managed to adjust the fund’s exposure to different themes, countries, and risks, so they are tailored for prevailing market conditions. We have chosen to invest directly to ensure we keep control over every investment.
For more details see our Investment approach or contact us.
The fund’s portfolio strategy is based on the selection of individual smaller companies with outstanding growth prospects. This is accompanied by a broad degree of geographic diversification. We aim to select well-financed companies with defensible market positions and enduring business models. Many of these are high quality specialists supplying goods or services for wider markets. Particular areas that we have identified include environmental activities, industrial automation and health care for ageing populations.
Since the beginning of April, equity markets have been particularly volatile, and the value of US investments has been affected by the weakness of the dollar against sterling.
Much of the turbulence in financial markets has stemmed from uncertainty surrounding the future direction of US trade policy. In the short term, global growth and inflation have been largely unaffected as many companies had stockpiled materials and goods in anticipation of tariffs. However, such measures only appear to offer a temporary respite from a more difficult environment for cross-border business.
Looking ahead, higher trading costs appear likely to squeeze corporate profits, even if progress in trade negotiations upgrades the most pessimistic forecasts. Against this background, our investment strategy emphasises broad diversification. The selection of individual equity investments is focused on resilient, high-quality businesses where valuations are underpinned by sound finances and good prospects for long-term growth.
Commentary updated on 30 June 2025.
We offer income and accumulation class units. The decision whether to buy income or accumulation units will depend on whether you would prefer to receive the income as cash or would like it to be automatically reinvested.
The fund is a UK UCITS authorised unit trust. As such there are tax considerations: individuals can defer incurring capital gains tax until units in the fund are sold, and the portfolio of underlying investments are managed without tax constraints.
The fund can be held in ISAs, JISAs and SIPPs.
The value of an investment, and any income from it, may go down as well as up and you may get back less than you originally invested. Past performance is not a guide to future performance. You should always seek appropriate advice from their financial adviser before committing funds for investment. Further information is available in the Key Investor Information Document (KIID), the risk section of the Fund’s prospectus and the Fund Fact sheet. Please read the KIID before making any investment decision.
The McInroy & Wood Funds (i.e. the McInroy & Wood Balanced Fund, the McInroy & Wood Income Fund, the McInroy & Wood Smaller Companies Fund, and the McInroy & Wood Emerging Markets Fund) are not marketed outside of the UK and the information regarding the McInroy & Wood Funds on this website is not intended to be used by, or to be available to, persons accessing the website from outside the United Kingdom. We do not accept applications by, or on behalf of, US Persons (being a national, citizen, or resident of the United States of America or a corporation or partnership organised under the laws of the United States of America or having a principal place of business in the United States).
The distribution of the information and documentation on this website may be restricted by law in certain countries. This website, and the information and documentation on it, are not addressed to any person resident in the territory of any country or jurisdiction where such distribution would be contrary to local law or regulation. All persons accessing this website should check their local regulations before considering investment.
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The information on this website is for information purposes only and information contained on it is not intended to be an offer to buy or sell securities and this website should not be regarded as an offer or solicitation to conduct investment business as defined in section 21 of the UK Financial Services and Markets Act 2000 (FSMA).
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at 12 noon on 18/07/2025
at 12 noon on 18/07/2025
Income will be automatically reinvested and retained within the fund, increasing the unit price.
Income from the fund will be paid directly to you.
£500
£100
ISA, JISA, SIPP
26th March 2001
UK UCITS authorised unit trust
Historic dividend yield reflects distributions declared over the past 12 months as a percentage of the unit price. You should remember that the price of units and the income from them may go down as well as up. Past performance should not be used as a guide to future performance.
Nil
Nil
Nil
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Please do not hesitate to contact us should you have any questions.
EMT and EPT files are available on request.
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