Damien’s January 2026 portfolio review – The new year starts on the front foot

The background to my portfolio

Back in March 2015 I decided to invest £50,000 of my own money using 80-20 Investor. The purpose was twofold, firstly to show how you can use 80-20 Investor to invest and outperform the market with only a few minutes effort every now and then. Secondly, no other investment commentator, journalist or research provider invests their own money for fear of failing. This is a sorry state of affairs and is precisely why I committed to openly running my own portfolio for 80-20 Investor members to see.

Since then I have periodically changed my portfolio using the fund data provided by the 80-20 Investor algorithm and associated research. I always disclose the changes at the time they are made.

Performance update

As is usual in my portfolio reviews, the chart below shows how my portfolio has outperformed since I started the challenge in March 2015. The green line is the performance of my portfolio while the red line is the benchmark showing the average return achieved by professional fund managers given the same asset mix. To accurately calculate this I have used the average return for each sector in which my portfolio invested. The blue line shows what the average multi-asset fund with comparable equity content achieved. In other words, the red line would show the extra performance added by just the asset mix of my portfolio (where I was invested i.e. European equities etc) over picking a typical multi-asset fund (the blue line). While the green line (which is my actual performance) shows the impact of being in the right funds at the right time, as identified by the 80-20 Investor algorithm.

Since my last portfolio review, my portfolio has extended its lead over its benchmarks (see above) and sits at another new all-time high. The chart below shows just how strong the portfolio's performance has been over the last month.

Looking at the individual funds within my portfolio (see table below), iShares Physical Gold ETC was once again among my top-performing holdings over the last month. Artemis SmartGARP European Equity and Artemis Global Income were my top-performing equity funds, closely followed by funds with exposure to emerging market/Asian equities and Japanese equities. At the other end of the scale, T. Rowe Price US Large Cap Growth Equity struggled as investors rotated out of US growth stocks and the AI-investment theme, in search of better value opportunities elsewhere.

Name	% return over the last month (since December review)
Artemis Global Income	7.33
iShares Physical Gold	6.07
Artemis SmartGARP European Equity	6.07
Invesco Asian (UK)	4.81
Man Japan Core Alpha	4.25
Ninety One UK Special Situations	3.63
Fidelity Global Dividend	2.33
Barclays Global Markets Adventurous	1.8
abrdn Strategic Bond	1.24
abrdn High Yield Bond	1.06
Schroder Strategic Credit	0.88
T. Rowe Price US Large Cap Growth Equity	-0.94

As usual, the table below shows which funds within my portfolio are in the current BOTB or BFBS tables and which are not. Those funds in blue are still in the BOTB while those in grey are not in the BOTB but remain in the BFBS list. Meanwhile, any funds in red have dropped out of both shortlists.

Fund	Allocation	Risk	Sector	ISIN Code
abrdn High Yield Bond	13	Lower	Sterling High Yield	GB00B79RR984
abrdn Strategic Bond	5	Lower	Sterling Strategic Bond	GB00BWK27X12
Artemis Global Income	14	Medium	Global Equity Income	GB00B5N99561
Artemis SmartGARP European Equity	6.5	Medium	Europe Excluding UK	GB00B2PLJD73
Barclays Global Markets Adventurous	8.5	Medium	Flexible Investment	GB00B4YPY060
Fidelity Global Dividend	5.5	Medium	Global Equity Income	GB00B7778087
Invesco Asian (UK)	8.5	Higher	Asia Pacific Excluding Japan	GB00B1W7HW60
iShares Physical Gold ETC	7.5	Medium	Commodity & Energy ETF	IE00B4ND3602
Man Group Man Japan Core Alpha	6.5	Higher	Japan	GB00B0119B50
Ninety One UK Special Situations	10.5	Higher	UK All Companies	GB00B1XFJS91
Schroder Strategic Credit	7.5	Lower	Sterling Strategic Bond	GB00BJZ2ZC09
T. Rowe Price US Large Cap Growth Equity	7	Higher	North America	GB00BD5FHW12

That means that four funds are on the red list this month, having fallen out of the BOTB and BFBS tables, namely:

• Fidelity Global Dividend
• Barclays Global Markets Adventurous
• Ninety One UK Special Situations
• T. Rowe Price US Large Cap Growth Equity

Overall, my portfolio continues to perform very well in the current market conditions and has started 2026 on the front foot. By the close of play on Friday 9th January, my portfolio had already risen by 2.2% in 2026. Only 14 funds, out of a possible 273, within the IA Mixed Investment 40-85% sector have outperformed my portfolio so far this year. While this is only a very short time frame, I mention it to highlight that current market conditions have remained favourable for my portfolio.

So, once again, there is no need for large-scale changes. Regular 80-20 Investor members will know that I tend to only make changes to those funds that fall into the red list, but that isn't a hard and fast rule as you saw in last month's portfolio review.

Of the four funds in the red list this month, two have retained their place from last month. These are Fidelity Global Dividend and Barclays Global Markets Adventurous. Even though Fidelity Global Dividend was on the red list last month, I gave it a stay of execution, which ultimately was rewarded. As shown in the earlier performance table, the fund produced a return of 2.45% over the last month, which is in line with its peer group, even after a pullback at the end of last week. In addition, at the start of 2026, it re-entered the BFBS table. So while the fund is certainly on my radar for review it still provides strong diversification benefits compared to my other equity holdings, such as T. Rowe Price US Large Cap Growth Equity. The latter is mostly exposed to US tech stocks (and the AI-theme) while Fidelity Global Dividend is underweight in US tech stocks and instead favours a global mix of industrials, consumer staples and financials. For now, I will maintain my holding in Fidelity Global Dividend.

Barclays Global Markets Adventurous is also on the red list once again, having last been in the BFBS lists back in November. Overall, the fund has performed well since I first invested in it back in October 2024, however, as you can see in the chart below, the fund has lost momentum versus its peer group average since late October 2025.

Given the fact that the fund has a sizeable allocation within my portfolio, I now plan to switch into another multi-asset fund from this month's BOTB. As such, I will move the sale proceeds into Premier Miton Multi-Asset Growth & Income, which has been a regular in the BOTB of late and has outperformed Barclays Global Markets Adventurous over short-term and long-term timeframes.

Ninety One UK Special Situations had been a regular of the BOTB, but its momentum stalled at the back end of the year and it now finds itself on the red list. However, its performance has since picked up, benefiting from its exposure to industrials.  Rolls-Royce, in particular, is the fund's largest holding (at 7.5% of the fund's assets), which has benefited the fund given that the company's share price has rallied over 12% so far this year, as a result of the rise in geopolitical risk as well as promises of increased defence spending globally. So for now, I will maintain my holding in this fund.

This leads me to T. Rowe Price US Large Cap Growth Equity. The fund has a significant exposure to US tech stocks and, therefore by association, the AI-investment theme. This has been to the fund's benefit during the year to October 2025, but in recent months it has provided a drag on performance. With the fund falling swiftly out of the BFBS and BOTB tables, I am taking the chance to reduce my exposure to this theme and will reconsider whether to remove it completely from my portfolio next time. For now, I will sell 25% of my holding and spread it equally across my other equity holdings, except for Artemis Global Income, given its already significant allocation.

That does, of course, mean that I will be adding a small amount to Ninety One UK Special Situations and Fidelity Global Dividend, which are both on my red list. But as they are remaining in my portfolio, they remain valid destinations for what is essentially a small top-up. In addition, by spreading the sale proceeds across five equity funds, it maintains my portfolio's equity asset allocation, which is not too dissimilar to that of the BOTB and has been working in the current environment. It is worth pointing out that as a result of the switch from Barclays Global Markets Adventurous into Premier Miton Multi-Asset Growth & Income, my portfolio's bond exposure will increase.

Fund switches

This month I will make the following fund switches:

• 100% out of Barclays Global Markets Adventurous and then invest the proceeds 100% into Premier Miton Multi-Asset Growth & Income
• 25% out of T. Rowe Price US Large Cap Growth Equity and 20% into Artemis SmartGARP European Equity, 20% into Fidelity Global Dividend, 20% into Invesco Asian (UK), 20% into Man Group Man Japan Core Alpha and 20% into Ninety One UK Special Situations

My portfolio

My portfolio now looks like this:

Fund	Allocation	Risk	Sector	ISIN Code
abrdn High Yield Bond	12.5	Lower	Sterling High Yield	GB00B79RR984
abrdn Strategic Bond	4.5	Lower	Sterling Strategic Bond	GB00BWK27X12
Artemis Global Income	14.5	Medium	Global Equity Income	GB00B5N99561
Artemis SmartGARP European Equity	7	Medium	Europe Excluding UK	GB00B2PLJD73
Fidelity Global Dividend	6	Medium	Global Equity Income	GB00B7778087
Invesco Asian (UK)	9	Higher	Asia Pacific Excluding Japan	GB00B1W7HW60
iShares Physical Gold ETC	8	Medium	Commodity & Energy ETF	IE00B4ND3602
Man Group Man Japan Core Alpha	7	Higher	Japan	GB00B0119B50
Ninety One UK Special Situations	11	Higher	UK All Companies	GB00B1XFJS91
Premier Miton Multi-Asset Growth & Income	8.5	Medium	Mixed Investment 40-85% Shares	GB00B78H4K93
Schroder Strategic Credit	7	Lower	Sterling Strategic Bond	GB00BJZ2ZC09
T. Rowe Price US Large Cap Growth Equity	5	Higher	North America	GB00BD5FHW12

 

My Portfolio asset mix

My portfolio asset mix still has approximately 64% exposure to equities. Last month's figures are shown in brackets.

• UK Equities 14% (14%)
• North American Equities 11% (12%)
• Asian Equities 9% (8%)
• Chinese Equities 0% (0%)
• Emerging Market Equities 5% (4%)
• Japanese Equities 8% (8%)
• European Equities 12% (12%)
• Other International equity 5% (6%)
• Commodities and energy 7% (7%)
• UK Fixed Interest 5% (2%)
• Global Fixed Interest 20% (19%)
• Cash 0% (0%)
• Alternative Investment Strategies 4% (8%)

Damien's higher risk and lower risk portfolios

Using the logic described in my post: Update to Damien’s alternative risk portfolios I created hypothetical higher and lower risk versions of my portfolio below:

Lower risk

Fund	Allocation %
abrdn High Yield Bond	18
abrdn Strategic Bond	7
Artemis Global Income	21
Artemis SmartGARP European Equity	10
Fidelity Global Dividend	9
iShares Physical Gold ETC	12
Premier Miton Multi-Asset Growth & Income	13
Schroder Strategic Credit	10

 

Higher risk

Fund	Allocation %
Artemis Global Income	19
Artemis SmartGARP European Equity	9
Fidelity Global Dividend	8
Invesco Asian (UK)	12
iShares Physical Gold ETC	11
Man Group Man Japan Core Alpha	9
Ninety One UK Special Situations	14
Premier Miton Multi-Asset Growth & Income	11
T. Rowe Price US Large Cap Growth Equity	7