CT Healthcare (CTHT) fund manager Kosta Kleyman has sounded a cautious note on prospects as ‘restrictive’ interest rates and sticky inflation threaten to weigh on the sector’s recovery.
In the £69m investment trust’s first interims since Columbia Threadneedle replaced Bellevue Asset Management in March, chair Sarah MacAulay said Kleyman believed healthcare sector share prices were “now near their highs” and “sub-sector positioning will become even more important”.
Healthcare has rebounded in the past 18 months but according to MacAulay, Kleyman, an absolute return investor who can “short” stocks he thinks will fall as well as go “long” on shares he likes, had said the “broad rally will not continue into the second half of 2026”. He added that he was only “moderately positive” on the sector.
The half-year results showed the former Bellevue Healthcare protected investors from the 5.1% decline in the MSCI World Healthcare index in the six months to 31 May. It outperformed with a 1.1% investment loss and a share price fall of 2%.
