Fantasy fund manager: volatile month drags down contestants’ portfolios
Despite July’s losses, players are still showing a profit for the year.
It was a brutally volatile month in global stock markets, roiled by panic about expenditure on AI infrastructure, rising bond yields and an increase in oil prices – all of which cast doubt on further interest rate reductions due to prolonged above-target inflation.
The storm hit almost every market and region, with emerging markets in Asia particularly affected. The region is home to some of the world’s biggest chipmakers and AI infrastructure companies.
The UK, by contrast, remained relatively insulated given its lack of exposure to major tech companies and the broader AI theme, and many UK trusts outperformed.
Journalist | Portfolio gain (%) | Value of £10,000 |
|---|---|---|
Lynn Beattie | 17.72 | £11,772 |
Jeff Prestridge | 15.59 | £11,559 |
Holly Mead | 11.56 | £11,156 |
Moira O'Neill | 8.58 | £10,858 |
Gavin Lumsden | 3.71 | £10,371 |
Peter Higgins | 3.24 | £10,324 |
Source: theaic.co.uk / Morningstar. Share price total return from 01/01/26 to 31/07/2026. All returns in GBP.
Top portfolio returns
All this turmoil has shaken up the leaderboard, and propelled first-time investment trust investor Lynn Beattie, otherwise known as personal finance influencer Mrs Mummypenny, into the lead.
Lynn has thousands of social media followers and regularly appears on television with wise words on saving and budgeting, but this is her first foray into investing. She picked the trusts in her portfolio after a couple of intense evenings of internet research using nothing but Google and the AIC’s website.
Her portfolio fell 1.6% in July, but her year-to-date return of 17.7% means she leapfrogs Daily Mail Group investment guru Jeff Prestridge and takes top spot for the first time. Jeff’s portfolio fell by 4.3% in July, dragged down by what had been his best performing trust, Seraphim Space. Its share price declined by 18.6% during the month.
Gavin Lumsden, head of news at research company QuotedData, has had a fairly torrid time since the start of the competition. But his UK exposure came good in July and his portfolio rose by 4.4%. In fact he was the only competitor to see his portfolio increase in value over the month, meaning he’s now showing a profit for the year.
Top investment trusts
Given the volatility in the AI and big tech sectors, UK trusts were standout performers in July. However, it was a trust in the Flexible Investment sector, RIT Capital Partners, that was the best performer of the month out of all the trusts selected by our contestants. It rose by 12% in July, benefiting Gavin who holds the trust in his fantasy portfolio.
Another of Gavin’s selections, Finsbury Growth & Income Trust, managed by Nick Train, rose by an impressive 8.65%, highlighting the UK’s haven status when it comes to wobbles in the tech sector.
Moira O’Neill’s portfolio also benefitted from UK exposure. Her choice of Schroder UK Mid Cap Fund saw its shares rise by 6.6%, while two of Jeff Prestridge’s UK focused trusts both rose sharply; Mercantile Investment Trust was up by 3.6% while Temple Bar Investment Trust jumped by 7.4%.
At the time of writing, markets around the world were hitting new all-time highs. Drop in again next month to see what impact that has on our competitors’ trusts.
| Journalist | Investment trust | AIC sector | Share price total return (%) 1 month to 31/07/2026 | Share price total return (%) YTD to 31/07/2026 | Value of holding as at 31/07/2026 |
|---|---|---|---|---|---|
| Lynn Beattie | Alliance Witan | Global | 0.07 | 6.08 | £2,652 |
| Allianz Technology Trust | Technology & Technology Innovation | -10.90 | 27.13 | £3,178 | |
| Henderson Smaller Companies | UK Smaller Companies | 6.12 | 12.04 | £2,801 | |
| Schroder Asian Total Return | Asia Pacific | -1.71 | 25.62 | £3,141 | |
| Total portfolio | -1.61 | 17.72 | £11,772 | ||
| Jeff Prestridge | Mercantile Investment Trust | UK All Companies | 3.56 | 9.56 | £2,739 |
| Scottish Mortgage | Global | -9.52 | 12.42 | £2,811 | |
| Seraphim Space Investment Trust | Growth Capital | -18.64 | 27.33 | £3,183 | |
| Temple Bar Investment Trust | UK Equity Income | 7.43 | 13.03 | £2,826 | |
| Total portfolio | -4.29 | 15.59 | £11,559 | ||
| Holly Mead | Ashoka India Equity | India / Indian subcontinent | 0.20 | -7.54 | £2,312 |
| BlackRock World Mining | Commodities & Natural Resources | -2.00 | 11.40 | £2,785 | |
| International Biotechnology | Biotechnology & Healthcare | -5.50 | 7.34 | £2,684 | |
| Polar Capital Technology | Technology & Technology Innovation | -12.13 | 35.02 | £3,376 | |
| Total portfolio | -4.86 | 11.56 | £11,156 | ||
| Moira O'Neill | Golden Prospect Precious Metals | Commodities & Natural Resources | -6.44 | -7.24 | £2,319 |
| Personal Assets Trust | Flexible Investment | 2.25 | 1.26 | £2,532 | |
| Schroder UK Mid Cap Fund | UK All Companies | 6.61 | 9.25 | £2,731 | |
| Templeton Emerging Markets | Global Emerging Markets | -8.27 | 31.05 | £3,276 | |
| Total portfolio | -1.46 | 8.58 | £10,858 | ||
| Gavin Lumsden | Herald Ord | Global Smaller Companies | -3.91 | - | £2,794 |
| Finsbury Growth & Income Trust | UK Equity Income | 8.65 | -0.99 | £2,475 | |
| Lindsell Train | Global | 0.69 | -10.15 | £2,246 | |
| RIT Capital Partners | Flexible Investment | 12.01 | 14.21 | £2,855 | |
| Total portfolio | 4.36 | - | £10,371 | ||
| Peter Higgins | BlackRock World Mining | Commodities & Natural Resources | -2.00 | 11.40 | £2,785 |
| CQS Natural Resources Growth & Income | Commodities & Natural Resources | 3.97 | 4.90 | £2,623 | |
| Rockwood Strategic | UK Smaller Companies | 0.96 | 8.22 | £2,706 | |
| Vietnam Enterprise Investments | Country Specialist | -7.74 | -11.57 | £2,211 | |
| Total portfolio | -1.20 | 3.24 | £10,324 | ||
Source: theaic.co.uk / Morningstar. All data to 31 July 2026. *AUGM proceeds of £3,050 notionally reinvested into HRI on 01/06/2026. All returns in GBP. The information and trust selections are for entertainment purposes only and do not constitute investment advice or personal recommendations. The opinions expressed are those of the individual writers and not of the AIC. You should not make investment decisions based solely on this information and you should seek independent financial advice to identify investments that suit your own personal circumstances and needs. See our full terms of use.
Nick Gardner
Nick Gardner is an award-winning financial journalist. He is former Business and Personal Finance Editor of the Sunday and Daily Telegraph in Sydney, and Deputy Money editor of The Sunday Times in London. He was also Head of Content at Brewin Dolphin, the wealth manager.
