Laura Foll of Janus Henderson discusses the importance of diversification, effective risk management, and transparent communication strategies in navigating UK equities through a disciplined value approach, highlighting the resilience of Law Debenture trust and efforts to engage retail investors.
Laura Foll, co-manager of the Lowland and Law Debenture investment trusts at Janus Henderson, offers a nuanced perspective on navigating UK equities through a value investing approach. Speaking to City AM, Foll emphasises investing in market-leading, well-managed companies that are undervalued relative to their historical performance or peers. This strategy often involves buying into firms facing recognised but overstated challenges, aiming to capitalise on both valuation and earnings upside for strong total returns. Foll highlights the importance of strong management teams in this process, illustrating with the example of Marks & Spencer (M&S), which they invested in when it was perceived to be in structural decline but still had a robust food business and significant market share in clothing.
Risk management, a crucial aspect of Foll’s approach, is primarily achieved through genuine diversification. The Law Debenture trust, which Foll co-manages alongside James Henderson, typically holds around 150 positions. This broad spread mitigates risk as their best performers come from a diverse set of companies, such as Babcock International, banks like Barclays, and smaller firms like Renold, which have no direct connections but contribute to a balanced portfolio. This method aligns with their value investing style, allowing for cautious initial investments in companies with issues and gradually increasing exposure as confidence grows.
Despite debates on concentration versus diversification in investment portfolios, Foll advocates for a diversified approach tailored to the value investing process. Buying selectively at lower valuations, often in small positions and increasing stakes over time, contrasts with the strategy of holding a shorter list of high-conviction stocks favoured by some investors. This ensures they are not overly exposed to any single company facing structural challenges.
Foll also touches on managing market volatility with a pragmatic stance: avoiding the temptation to frequently check investment accounts during turbulent periods. She explains that decisions are based on whether companies face structural impairments or merely cyclical downturns, with sales typically occurring only when recovery seems unlikely. Their investment research is deeply bottom-up, leveraging extensive insights from Janus Henderson’s global research team, while not attempting to predict broader macroeconomic shifts, which can be unpredictable and counterproductive.
Communication with investors is a priority for Janus Henderson. Foll candidly acknowledges the industry’s ongoing challenge to demystify investments and improve transparency, particularly for retail investors. She points to the need for greater engagement to build trust and comprehension among individuals who might find financial markets intimidating or opaque. The upcoming WIN financial education event, co-hosted by City AM and Law Debenture, exemplifies efforts to address these gaps.
Law Debenture itself is a £1 billion UK income investment trust known for delivering long-term capital growth alongside steadily increasing dividends. Managed by Henderson and Foll, it has been recognised for excellence, earning the UK Equity Income Investment Trust of the Year award consecutively in 2022. The trust holds a diverse portfolio primarily focused on UK companies, including blue-chip names like Shell and BP, and maintains a strong track record of outperforming its peers. Over the past three to five years, Law Debenture has delivered total returns exceeding major benchmarks such as the FTSE All-Share, driven by its disciplined value investment approach.
A distinctive feature of Law Debenture is its hybrid structure, featuring the Independent Professional Services (IPS) business. This provides a stable income stream that supports the trust’s dividend payments, contributing to its reputation for resilience and reliability. With 44 years of consecutive dividend increases and a twelve-year streak of annual dividend growth, Law Debenture appeals to income-focused investors seeking both capital appreciation and income security.
Foll also reveals a personal investment lesson: holding too much cash, motivated by precautionary reasons, ultimately eroded real returns due to inflation. This candid admission underscores the importance of maintaining investment exposure, particularly in a rising inflation environment.
For UK fund managers, the challenge and opportunity lie in better reaching the evolving base of retail investors who are increasingly managing their portfolios independently through online platforms. Foll highlights the need for the investment industry to adapt its communication and engagement strategies to attract and educate these investors, thus broadening access to quality investment products like Law Debenture.
The forthcoming WIN event on 17th September represents a step toward this goal, aiming to provide financial education and support to those new to investing, reinforcing the commitment to transparency and investor empowerment that Foll champions.
📌 Reference Map:
- Paragraph 1 – [1], [2], [3]
- Paragraph 2 – [1], [2], [3]
- Paragraph 3 – [1]
- Paragraph 4 – [1]
- Paragraph 5 – [1], [2], [6], [7]
- Paragraph 6 – [1], [7], [6], [4]
- Paragraph 7 – [1]
- Paragraph 8 – [1], [3], [5], [6]
Source: Noah Wire Services
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
8
Notes:
The narrative appears to be original, with no evidence of prior publication. The upcoming WIN* event on 17th September 2025 is mentioned, indicating recent content. The article is published on 10th September 2025, suggesting high freshness. No signs of recycled news or outdated information were found. The narrative is based on an interview with Laura Foll, co-manager of the Lowland and Law Debenture investment trusts at Janus Henderson, providing original insights. No discrepancies in figures, dates, or quotes were identified. No republishing across low-quality sites or clickbait networks was observed. The presence of updated data alongside older material does not significantly affect the freshness score.
Quotes check
Score:
9
Notes:
The direct quotes from Laura Foll are unique to this narrative, with no identical matches found in earlier material. This suggests potentially original or exclusive content. No variations in quote wording were noted.
Source reliability
Score:
9
Notes:
The narrative originates from City A.M., a reputable UK business news outlet. Laura Foll is a joint portfolio manager at Janus Henderson Investors and co-manager of the Lowland and Law Debenture investment trusts. Her professional background and affiliations are verifiable through Law Debenture’s official website. ([lawdebenture.com](https://www.lawdebenture.com/our-people/laura-foll/?utm_source=openai)) The WIN* event is co-hosted by City A.M. and Law Debenture, further supporting the credibility of the information. ([lawdebenture.com](https://www.lawdebenture.com/events/winstar-widening-investor-networks/?utm_source=openai))
Plausability check
Score:
8
Notes:
The claims made in the narrative are plausible and consistent with known information. Laura Foll’s investment philosophy aligns with value investing principles, focusing on undervalued, well-managed companies. The mention of the WIN* event on 17th September 2025 is consistent with Law Debenture’s financial education initiatives. ([lawdebenture.com](https://www.lawdebenture.com/events/winstar-widening-investor-networks/?utm_source=openai)) No supporting details from other reputable outlets were identified, but the information is consistent with known facts. The language and tone are appropriate for the UK financial context. No excessive or off-topic details were noted. The tone is professional and consistent with corporate communication.
Overall assessment
Verdict (FAIL, OPEN, PASS): PASS
Confidence (LOW, MEDIUM, HIGH): HIGH
Summary:
The narrative is original, with no evidence of recycled content. Direct quotes from Laura Foll are unique and not found elsewhere. The source, City A.M., is reputable, and the information aligns with known facts about Laura Foll’s investment philosophy and the WIN* event. No discrepancies or signs of disinformation were identified.
