Fidelity Special Values PLC (LON:FSV) has published its monthly factsheet for September 2026.
Portfolio Manager Commentary
UK equities faced a more challenging backdrop in September, as elevated energy prices and rising global bond yields weighed on investor sentiment. Higher oil prices, driven by continued geopolitical tensions in the Middle East, added to concerns that inflation could remain elevated for longer and that monetary policy may need to remain restrictive.
UK equities continue to trade at a significant valuation discount to other major markets, both on an absolute basis and after adjusting for structural differences in index composition, such as the higher weighting of technology stocks in the US market. We continue to see compelling opportunities across the UK market, particularly among mid and smaller-cap companies, where valuations remain depressed. The portfolio’s holdings trade at a meaningful discount to the broader UK market, despite their potential for robust earnings growth, strong returns on capital and relatively low levels of debt. These characteristics reinforce our confidence in the portfolio’s ability to deliver attractive long-term returns for investors.
On a rolling 12-month basis, the Trust recorded NAV and share price returns of 20.2% and 22.5% respectively, compared with 16.8% for the index.
Fidelity Special Values PLC (LON:FSV) aims to seek out underappreciated companies primarily listed in the UK and is an actively managed contrarian Investment Trust that thrives on volatility and uncertainty.
