AJ Bell's Khalaf: 'Best of British' trust launches 'litmus test' for investor appetite

Review of new Sanford DeLand vehicle

The launch of Keith Ashworth-Lord's UK Buffettology Smaller Companies investment trust (BUFF) comes at a "brave time", according to AJ Bell's Laith Khalaf, who said the success of the float will be "a good litmus test" of investor appetite for UK equities.

The trust, which is aiming to raise at least £100m before listing on the London Stock Exchange at the end of the month, was the third announced "best of British" trust launch this month. It follows Schroders' unveiling of its British Opportunities trust, and Tellworth's planned British Recovery & Growth Trust launch - the latter of which has already been pulled due to weak interest. However, financial analyst Khalaf said BUFF may fare better, given Sanford DeLand has "the kudos of the Buffett name" on its side, as well as the "outstanding performance" of its existing mandates. Asse...