Job Curtis: Stocks I’m buying for City of London Investment Trust

TL;DR

Joe Curtis discusses the market volatility caused by the coronavirus and shares his perspective on using it as an opportunity to invest in cheap stocks.

Transcript

hello I'm here today with Joe Curtis fund manager of the City of London investment trusts hello Joe hello bricks it we have to talk about it it's finally happened so we've had the bar at the Boris bounce but the coronavirus has sort of put a spanner in the works at least short term I mean do you see current market volatility as an opportunity to pi... Read More

Key Insights

• 🙈 Curtis sees market volatility as an opportunity to invest in cheap stocks for the long term.
• 👋 He believes that the UK equity market offers attractive dividends, making it a good place to invest.
• 🧘 Curtis has recently added to positions in domestic stocks and invested in the French National Lottery franchise.
• ♿ Diversification through overseas investments provides access to different sectors and markets.
• 💇 Curtis follows a cautious approach, selling underperforming stocks and cutting losses when necessary.
• 🌥️ He highlights the uncertainty surrounding Brexit negotiations and focuses on investing in reliable large companies regardless of the outcome.
• 🛢️ Oil companies like Shell and BP face challenges related to climate change, but global demand for oil and petrochemicals remains significant.
• 👋 The financial services sector in the UK, including banking and insurance, offers good investment opportunities.

Questions & Answers

Q: How does Joe Curtis view the current market volatility?

Curtis sees market turbulence as a potential opportunity to add to investment positions or make new purchases, especially when considering the long-term perspective and attractive UK equity dividends.

Q: Does Curtis believe that a deal regarding Brexit trade negotiations will be reached by the end of 2020?

Curtis admits that the future of Brexit negotiations is uncertain, but he believes that both the UK and EU have an incentive to reach some sort of deal. He focuses on investing in big global companies and attractive domestic stocks regardless of the Brexit outcome.

Q: What recent stocks has Curtis been buying and selling?

Curtis has purchased domestic stocks such as Royal Bank of Scotland and Morrison's. He also invested in the French National Lottery franchise. On the selling side, he has sold TUI, a tour operator, as well as smaller holdings in a banknote printer, distributor, and an investment trust.

Q: Under what circumstances does Curtis consider diversification through overseas investments?

Curtis typically focuses on UK-listed stocks, which make up at least 80% of his portfolio. However, he also holds around 10% in overseas stocks to diversify and gain exposure to sectors that may not be available in the UK market.

Summary & Key Takeaways

• Joe Curtis believes that the current market volatility presents an opportunity to add to existing positions or even buy new ones.

• He mentions that UK equities offer attractive dividends compared to bank deposit rates and government bonds.

• Curtis has made recent purchases in domestic stocks, including Royal Bank of Scotland and Morrison's, as well as an investment in the French National Lottery franchise.