Portfolio commenced 24 October 2014
OBJECTIVE:
To outperform inflation.
STRATEGY:
Actively managed with a long-term bias to real assets e.g. equities. The Portfolio normally invests in a wide range of ETFs to gain significant diversification and exceptional liquidity at very low cost.
Bonds 34.4%
Equities 65.2%
Cash 0.4%
Top Holdings as at 31st July 2025
Create pdf| iShares Core MSCI EM IMI ETF USD Acc | 14.0% |
| Amundi UK Equity All Cap ETF | 11.6% |
| iShares Core FTSE 100 ETF GBP Dist | 10.5% |
| iShares Core UK Gilts ETF GBP Dist | 7.5% |
| iShares $ Trs Bd 7-10yr ETF GBP H Dist | 6.5% |
| Amundi MSCI Japan ETF | 6.3% |
| Invesco FTSE RAFI US 1000 ETF | 4.6% |
| Vanguard FTSE 250 UCITS ETF | 4.4% |
| SPDR MSCI Emerging Markets SmallCap ETF | 4.3% |
| Vanguard UK Gilt UCITS ETF | 3.9% |
Overall asset allocation
Bonds 34.4%
Equities 65.2%
Cash 0.4%
| No. Holdings | Yield to Maturity | Maturity | Duration | S&P Rating |
|
1,534 Crp 157 Gov |
4.5% | 7.8 | 5.6 | A- |
| No. Holdings |
1,534 Crp 157 Gov |
| Yield to Maturity | 4.5% |
| Maturity | 7.8 |
| Duration | 5.6 |
| S&P Rating | A- |
| No. Holdings | Dividend Yield | P/B | P/E | EPS |
| 5,521 | 3.3% | 1.7 | 14.1 | 10.9% |
| No. Holdings | 5,521 |
| Dividend Yield | 3.3% |
| P/B | 1.7 |
| P/E | 14.1 |
| EPS | 10.9% |
SCM 50/50 Absolute Return / Long-Term Return (GBP) As at 31st July 2025
| 12m to 31.07.17 | 12m to 31.07.18 | 12m to 31.07.19 | 12m to 31.07.20 | 12m to 31.07.21 | 12m to 31.07.22 | 12m to 31.07.23 | 12m to 31.07.24 | 12m to 31.07.25 |
|---|---|---|---|---|---|---|---|---|
| 13.2% | 5.5% | 3.3% | -6.4% | 18.1% | -5.2% | 4.7% | 9.9% | 7.3% |
| Source SCM Private LLP | ||||||||
| 12m to 31.07.17 | 13.2% | ||||
|---|---|---|---|---|---|
| 12m to 31.07.18 | 5.5% | ||||
| 12m to 31.07.19 | 3.3% | ||||
| 12m to 31.07.20 | -6.4% | ||||
| 12m to 31.07.21 | 18.1% | ||||
| 12m to 31.07.22 | -5.2% | ||||
| 12m to 31.07.23 | 4.7% | ||||
| 12m to 31.07.24 | 9.9% | ||||
| 12m to 31.07.25 | 7.3% | ||||
| Source SCM Private LLP | |||||
Past performance is not a guide to future returns. The value of investments and the income from them can go down as well as up, so investors may not recover the amount of their original investment.
ALL Fees & Charges
Create pdf| SCM Discretionary Fund Management Charge | 0.40% |
| Underlying ETF costs (KIID Ongoing Charge) | 0.15% |
| Transaction Costs of buying/selling funds | 0.12% |
| Transaction Costs within funds | 0.06% |
| Custody & Administration Fee | 0.12% |
| Total Fees & Charges | 0.85% |
WINNERS 2024
Best Online Female Wealth Manager – Gina Miller • Corporate Excellence Awards
UK Financial Services Provider of the Year • Corporate Live Wire Innovation & Excellence Awards
Most Innovative Online Wealth Management Firm • Corporate Excellence Awards
WINNERS 2023
Leading Investment Company • Global 100
WINNERS 2021
Leading Fund Management Firm of the Year, UK • Global 100
WINNERS 2020
Alan Miller - 30 Most lnfluential in the
European ETF lndustry List 2020 • ETF Stream
WINNERS 2019
Most Trusted Online lnvestment Manager of 2019 - UK • Corporate Excellence Awards 2019
WINNERS 2018
Online Wealth Manager of the Year • Global Business lnsight Awards
Business Women of the Year - Gina Miller • CEO Today
Excellence Award - Gina Miller • Wintrade
WINNERS 2017
50 Most lnfluential • PAM Awards
Investment Manager of The Year • Acquisition International
| United Kingdom | 41.4% |
| Asia emrg | 13.7% |
| Japan | 12.9% |
| Asia dev | 9.3% |
| Europe dev | 8.8% |
| North America | 8.0% |
| Africa / Middle East | 3.1% |
| Latin America | 1.9% |
| Europe emrg | 0.8% |
| Australasia | 0.0% |
| SCM 50/50 Absolute/Long-Term Return | 8.0% |
| UK Corp Bonds (iBoxx Large Cap TRI Index) | 9.8% |
| UK Gilts (Bloomberg UK Govt All>1 Yr) | 10.4% |
| UK Equities (MSCI UK) | 10.4% |
| Japan (MSCI Japan) | 12.3% |
| UK Index-Linked Gilts (Barclays UK Infl Linked) | 12.8% |
| Europe Excl UK (MSCI Eur. Ex UK) | 12.8% |
| US Equities (MSCI USA) | 15.5% |
| Em Markets (MSCI EM) | 17.1% |
| Asia Pacific Ex. Japan (MSCI Asia Ex Jap) | 19.2% |
No changes were made to the Portfolio in July.
Markets remained buoyant in July, with equities advancing again on the back of solid US economic data, resilient corporate earnings, and growing expectations that central banks, particularly the Federal Reserve, could begin easing policy. However, SCM remains sceptical that US rate cuts are as inevitable as markets seem to believe. This view is supported by fresh signs of inflationary pressure, particularly in tariff-sensitive sectors, and continued strength in activity data.
US equities posted further gains, led again by large-cap technology stocks. The Nasdaq registered 14 record highs during the month, with a narrow group of tech giants driving performance. Meanwhile, the US dollar rallied 3.2%, ending a six-month losing streak. The chart below shows asset performance across major global markets in July:
Tariffs Bite, and Inflation Lingers
President Trump’s evolving trade policy continued to dominated headlines. Several nations including Brazil, India, and Canada were hit with higher tariff rates, while others secured short-term extensions or agreed to revised deals. These moves coincided with the sharpest rise in goods prices since 2021, suggesting that tariff-related inflation may be starting to filter through to consumers. Despite political pressure, the Federal Reserve opted for a “hawkish hold” in July, and Chair Powell is expected to reinforce this stance.
SCM View: Market Optimism May Be Premature
Bond markets have priced in roughly 30 – 40 basis points of rate cuts by year-end, but we believe this confidence may be premature. The Fed faces limited justification for easing aggressively, particularly with inflation sticky and long-term fiscal concerns rising.
Market pricing in equities, particularly in the tech sector, increasingly reflects a one-sided view, leaving little room for error. Institutional investors have started to hedge against downside risk, with a noticeable uptick in demand for “disaster” puts on the Nasdaq 100. These highlights rising awareness of how stretched valuations have become in some parts of the market.
SCM Portfolios: Disciplined, Diversified, Cautious
Across SCM Portfolios, we remain focused on disciplined allocation. Equity exposure is diversified by geography and sector, with caution applied to areas showing excessive momentum or crowding. Our US equity position, which is currently unhedged, benefits from the recent dollar rebound. Fixed income allocations are concentrated in high-grade corporate bonds and UK and US Government bonds (our Ethical Portfolios do not hold government bonds). There is no exposure to high yield or EM sovereigns.
We believe the coming months will be shaped by three main forces: inflation persistence, central bank credibility, and earnings quality. As ever, SCM remains valuation-led and risk-aware.
Alan Miller, Chief Investment Officer
19 August 2025
Performance is based on the monthly performance of the first client discretionary portfolio after all charges. Individual client portfolios may differ due partly to differences in the timing of initial investment or withdrawals or rebalancing. The SCM 50/50 Absolute Return / Long-Term Return (£) Benchmark is the average of cash (Barclays Benchmark Overnight GBP Cash Index) and inflation (the return of the UK RPI All Items Index). Competitor data is based on the average performance of the IA Global Mixed Bond and the IA Mixed Investment 40-85% Shares Sectors and the comparison is offered as a guide only. Investing in Exchange Traded Funds may expose the investor to several risks, some of which are specific to Exchange Traded Funds and some of which are general investment risks. Discretionary portfolios are not subject to the same regulatory constraints as UCITS and other regulated funds. Risk and performance can change over time and the SCM Direct Portfolios may not be suitable for all types of investors. The tax treatment of investments depends on each investor’s individual circumstances and is subject to changes in tax legislation. We aim to provide investors with simple, understandable information so they can make fully informed decisions. If you are unsure about the suitability of our investment portfolios, please contact an independent financial adviser. SCM Direct and MoneyShe are trading names of SCM Private LLP which is authorised and regulated by the Financial Conduct Authority to conduct investment business. Company registered in England and Wales, no. OC342778. The value of investments can go down in value as well as up, so you could get back less than you invest. Exchange rates may cause the value of overseas investments and income from them to rise and fall. It is therefore important that you understand the past performance is not a guide to future returns. Neither SCM Direct nor MoneyShe gives personal advice.