Key Morningstar Metrics for FTF ClearBridge UK Equity Income Fund
- : GoldMorningstar Medalist Rating
- : Above AverageProcess Pillar
- : Above AveragePeople Pillar
- : AverageParent Pillar
FTF Clearbridge UK Equity Income is run by a capable and highly collaborative team using a thorough, disciplined process that has been applied consistently over the long term. This continues to warrant an Above Average Process and People Pillar rating.
Ben Russon became sole lead manager following Colin Morton’s retirement at the end of 2022, having worked alongside Morton since 2013 and served as co-lead from 2020. He also manages FTF Clearbridge Rising Dividends, which shares a high degree of overlap in process and core holdings.
Russon brings 26 years of UK equity experience, including 13 years at Newton, where he led Newton UK Opportunities from 2005 to 2013. He is supported by comanagers Jo Rands, who has 23 years of buy- and sell-side experience and has been comanager since 2022, and Will Bradwell, comanager since 2020 with 14 years of UK equity expertise.
The managers combine their stock-selection process with an assessment of the economic cycle. Top-down views are expected at times to influence the strategy’s sector tilts and help identify companies positioned to benefit from longer-term trends. The focus is on strong business franchises with maintainable pricing power. Thorough balance-sheet analysis is central to the process, as the team generally avoids overly indebted companies, favoring firms able to withstand potential economic or sector downturns.
This is a core, benchmark-aware approach that aims to add value in a steady, incremental manner over the longer term. Turnover is generally low, especially within the portfolio’s steady core, though the team shows discipline in trimming names that rerate quickly and become less compelling on valuation or yield grounds.
The strategy can underperform in strong market rallies or when small caps outperform, but its long-term performance profile is solid, typically boosted by its ability to protect capital relatively well in trickier market environments. This is a sound approach executed by an experienced team, making it a solid option for investors seeking core exposure in the UK equity-income space.
Long-term results have been strong relative to peers, with the W Acc clean share class ranking in the 17th percentile over the past 15 years and outperforming the category in 10 of those 15 calendar years. Risk-adjusted performance has also been superior over this period.
In 2025, the W Acc share class rose 21.8%, placing it in the 36th percentile, outperforming the category by 4.8% but trailing the index by 2.23%. Much of this gap was driven by having no exposure to Rolls-Royce, which pays a very low dividend, and being underweight HSBC, which forms a large part of the index. Other detractors included Bunzl, WPP, and PageGroup. Year to date to the end of August 2026, the fund has returned 11.7%, marginally ahead of the category and broadly in line with the index.
FTF ClearBridge UK Equity Income Fund: Performance Highlights
Since Ben Russon became a named manager in October 2013, the W Acc share class has outperformed the category and index by 2.08% and 0.65% annualized, respectively. Stock selection is expected to be the primary driver given the team’s bottom-up approach, though sector positioning also plays a role given the nature of the index, such as the underweight to banks.
Long-term results for the strategy have been strong relative to peers, with the W Acc clean share class ranking in the 17th percentile over the past 15 years and outperforming the category in 10 of those 15 calendar years. Risk-adjusted performance has also been superior over this period.
The strategy can underperform in strong rallies and smaller-cap-led markets, given its focus on stable large-cap companies, but its long-term performance is typically boosted by its ability to outperform peers in trickier market environments. In 2018, for example, the W share class outperformed both the index and category average in an overall down market, with stock selection contributing across a range of sectors, particularly consumer names.
The fund returned 6.4% in 2023, lagging both the index (7.9%) and the category average (6.8%), with the underweight to financials, particularly the absence of HSBC, a notable drag.
Performance in 2024 again trailed the benchmark and peer group, driven by weak stock selection. Close Brothers was among the biggest detractors, following a Financial Conduct Authority investigation into its motor finance division, which led to a dividend suspension and the sale of its asset management arm. Burberry also weighed on returns before being sold following a formal review, while the continued lack of exposure to Rolls-Royce detracted further.
In 2025, the W Acc share class rose 21.8%, placing it in the 36th percentile, outperforming the category by 4.8% but trailing the index by 2.23%. Much of this gap was driven by having no exposure to Rolls-Royce, which pays a very low dividend, and being underweight HSBC, which forms a large part of the index. Other detractors included Bunzl, WPP, and PageGroup. Year to date to the end of August 2026, the fund has returned 11.7%, marginally ahead of the category and broadly in line with the index.
