Out with the old: Sterling Investments' Melwin Mehta overhauls MI Discretionary Unit fund

Holdings 'representing the old economy' ditched

Sterling Investments' Melwin Mehta has spent the past two years "preparing, investing and creating a portfolio for tomorrow" as he repositions the MI Discretionary Unit fund.

Mehta, who founded Sterling in June 2017, became investment adviser on the fund - which was launched by Greene & Co in 1963 - in October 2017 and has since stripped out a number of holdings that "represented the old economy". During the overhaul, the fund's turnover was around 25% per annum, with stocks such as Chamberlin, Hornby and Low & Bonar disposed of. "[That] seems to have been a very wise decision because those stocks have either halved or lost two thirds of their value," Mehta told Investment Week. The attractive 'disruptor' stocks in growing UK sectors Mehta said he is lo...