# BlackRock Throgmorton Trust (LON:THRG): A Deep Dive into UK’s Mid and Small-Cap Gems

- Link: https://www.directorstalkinterviews.com/blackrock-throgmorton-trust-lonthrg-a-deep-dive-into-uks-mid-and-small-cap-gems/4121127446
- Published: 2023-09-19T13:09:23+01:00
- Author: Amilia Stone

The investment landscape is vast, with numerous opportunities awaiting discerning
investors. Among these, the **[BlackRock Throgmorton](https://www.directorstalkinterviews.com/company/blackrock-throgmorton-trust-plc/thrg.l)
Trust** ([LON:THRG](https://www.directorstalkinterviews.com/company/blackrock-throgmorton-trust-plc/thrg.l))
stands out, offering a unique perspective on the UK’s mid and small-cap market. 
Managed by the adept Dan Whitestone, this trust has carved a niche for itself, focusing
on companies that promise long-term growth and those that disrupt industries with
innovation.

**A Unique Investment Strategy**

Dan Whitestone’s approach to investment is both strategic and insightful. He believes
that the UK mid and small-cap space is teeming with companies that produce a wide
range of returns. This diversity offers active managers like him exceptional opportunities
to outperform. Whitestone’s strategy revolves around identifying nimble companies
with unique attributes that can deliver sustained growth over the long term. Interestingly,
while the primary focus is on the UK market, Whitestone also has the flexibility
to invest a small proportion (up to 15%) of the portfolio in companies not listed
in the UK. This approach ensures that the trust can tap into global opportunities
and not be restricted by geographical boundaries.

**Performance Insights**

According to the analysis by Kepler Trust Intelligence, THRG has consistently outperformed
both its benchmark and its peer group over the past five years. Despite facing challenges
in 2022, where its NAV declined by over 30% due to macro factors like rising interest
rates and inflation, the trust’s long-term performance remains commendable. It has
managed to stay ahead of its benchmark, the Numis Smaller Companies plus AIM ex 
Investment Companies Index, and its peer group.

**Dividend Considerations**

While THRG primarily aims for capital return, it has a commendable record of progressively
increasing its dividend. The trust has consistently increased dividends, with 2020
being the only recent exception. This was a year when many companies, facing uncertainties,
chose to suspend dividends. However, THRG used its revenue reserves to bridge the
gap, ensuring that the dividend remained consistent for its investors.

**Management Excellence**

Dan Whitestone’s leadership has been pivotal to THRG’s success. Having joined the
team first as a co-manager in 2015, he took over as the lead manager in 2018. Under
his guidance, the trust has navigated the complex terrains of the investment world,
ensuring consistent growth and returns for its investors.

**To learn more about the BlackRock Throgmorton Trust plc please follow this link:**
[**blackrock.com/uk/thrg**](https://www.blackrock.com/uk/solutions/investment-trusts/our-range/blackrock-throgmorton-investment-trust/trust-information?siteEntryPassthrough=true&cid=aff%3Ainvestmenttrusts2020%3Athrg%3Adirectorstalk%3Alink)

**Why Consider Investing in THRG?**

 * Diverse Portfolio: THRG offers exposure to a range of companies, from innovative
   industry disruptors to those with solid long-term growth prospects.
 * Experienced Management: Led by Dan Whitestone, the trust benefits from a management
   team with a proven track record.
 * Consistent Dividend: Despite its primary focus on capital return, THRG has a 
   history of delivering consistent dividends to its investors.
 * Flexibility: The trust’s ability to invest outside the UK ensures that it can
   tap into global opportunities, offering a diversified investment experience.

However, like all investments, THRG comes with its set of challenges. Potential 
investors should be aware of the inherent risks associated with investing in mid
and small-cap companies, market volatilities, and the macroeconomic factors that
can influence performance.

For retail investors looking to diversify their portfolios and tap into the potential
of the UK’s mid and small-cap market, BlackRock Throgmorton Trust offers a compelling
proposition. Backed by a robust investment strategy, experienced management, and
a consistent performance record, THRG stands as a testament to the opportunities
that lie in the often-overlooked segments of the market.

**To learn more about the BlackRock Throgmorton Trust plc please follow this link:**
[**blackrock.com/uk/thrg**](https://www.blackrock.com/uk/solutions/investment-trusts/our-range/blackrock-throgmorton-investment-trust/trust-information?siteEntryPassthrough=true&cid=aff%3Ainvestmenttrusts2020%3Athrg%3Adirectorstalk%3Alink)

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