(Reuters) - Equity investors pursuing a buy-and-hold strategy might want to check out a fund that hasn't made an original stock market bet in 80 years.
The Voya Corporate
Leaders Trust Fund, now run by a unit of Voya Financial Inc bought
equal amounts of stock in 30 major U.S. corporations in 1935 and hasn't picked a new stock since.
of its holdings are unchanged, including DuPont, General Electric,
Procter & Gamble and Union Pacific. Others were spun off from or
acquired from original components, including Berkshire Hathaway
(successor to the Atchison Topeka and Santa Fe Railway); CBS (acquired
by Westinghouse Electric and renamed); and Honeywell (which bought
Allied Chemical and Dye). Some are just gone, including the Pennsylvania
Railroad Co. and American Can. Twenty-one stocks remain in the fund.
The plan is simple, and the results have been good. Light on banks and
heavy on industrials and energy, the fund has beaten 98 percent of its
peers, known as large value funds, over both the past five and ten
years, according to Morningstar.
Assuming I have the symbol right, the fund has 21 stock holdings with turnover of 0%.