The shutdown of economies this year left slews of companies desperately trying to improve their technology stack. One trust that stands to benefit from this trend is HgCapital Trust (HGT), a specialist private equity portfolio that invests in software and tech-enabled service companies.
The trust, included in our IC Top 100 Funds list for 2020, has been the best performing private equity trust in terms of share price over the past year according to FE Analytics data, and recently reported an increase in net asset value of 12 per cent for the first eight months of 2020.
The trust invests in 30 companies via three institutional-only funds run by Hg. Each fund has the same investment strategy, but targets different sized companies, ranging from an enterprise value of £75m to over £5bn. HgCapital Trust accounts for approximately 12 per cent of Hg’s total assets under management.