Trojan Fund Europe

A Multi-Asset Fund with strong risk management emphasis

Investment Strategy

Troy Asset Management was founded in 2000 and is an independent, owner-managed investment boutique based in London, focused on multi-asset and global equity strategies.

The Troy multi-asset strategy has been consistently implemented for 25 years.

The strategy’s objective is to preserve and grow investors’ capital in real terms over the long term, combining valuation-led asset allocation with a focus on high-quality companies characterised by strong balance sheets, resilient cash flows and durable business models. This disciplined approach aims to protect capital in difficult markets while allowing investors to benefit from the rewards of long-term compounding.
European investors can access the strategy via the Trojan Fund Europe.

Multi-asset

Capital preservation focused

Article 8

Investment Opportunities

August raised a central question: who ultimately sets the price of money. In the US, Treasury Secretary Scott Bessent sought to ease pressure on long-term government borrowing costs, announcing at least a doubling of buybacks of 10- to 30-year Treasury bonds, from $2bn to $4bn per operation. Treasuries rallied sharply on the announcement, although much of the move was later reversed. While this does not yet amount to full yield curve control, the Fund notes that the precedent set could matter more than the size of the operation itself.

At the Jackson Hole Symposium, Federal Reserve Chair Kevin Warsh offered greater clarity than in previous appearances, reaffirming that the Fed’s 2% inflation target remains firm, that the labour market continues to show resilience, and that inflation is still too widespread. Markets welcomed this clarity, with expectations of a September rate rise increasing as a result.

The Fund’s view is that neither Bessent nor Warsh can, on their own, dictate the returns investors will ultimately demand for lending over long horizons. Should policymakers continue to resist higher borrowing costs, the adjustment may instead come through a weaker dollar and heightened inflation concerns, an environment that could favour gold. Reflecting this outlook, the Fund continues to favour short-dated US and UK inflation-linked government bonds within its fixed income allocation, valuing the inflation protection they offer while limiting exposure to the risks of longer-duration government lending.