This post was originally published on this site.
Investment trusts are often a sound investment but picking one that stands out from the crowd can really boost your returns.
So if you’re trying to decide where to invest for the second half of the year it could pay to see which trusts and sectors have outperformed the rest over the last six months.
The top funds and stocks for DIY investors have reflected a slant towards technology so far this year. Investors who followed that trend were rewarded, as technology-focused investment trusts delivered greater returns than any other sector.
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According to the Association of Investment Companies (AIC), an industry body representing the UK’s investment trusts, the average investment trust performed better than the UK stock market’s flagship large cap index, returning 9.4% during the first half of the year compared to the FTSE 100’s 5.7%.
Some investment trust sectors generated average returns well above this level.
The top-performing investment trust sectors of H1 2026
Tech was the top-performing investment trust sector, returning over 50% in the first six months of the year.
“The historic boom in AI spending continued to drive returns in the first half of 2026, most obviously in the technology sector,” said Annabel Brodie-Smith, communications director at the AIC.
|
AIC sector |
Share price total return in % |
Header Cell – Column 2 | Header Cell – Column 3 | Header Cell – Column 4 | Header Cell – Column 5 |
|---|---|---|---|---|---|
| Row 0 – Cell 0 |
H1 2026 |
1 yr |
3 yrs |
5 yrs |
10 yrs |
|
Technology & Technology Innovation |
50.5 |
88.6 |
211.6 |
184.7 |
1,026.3 |
|
Asia Pacific |
32.8 |
58.3 |
79.5 |
47.3 |
257.9 |
|
Global Emerging Markets |
31.4 |
62.2 |
109.4 |
65.3 |
232.9 |
|
Asia Pacific Equity Income |
26.0 |
53.2 |
88.1 |
72.5 |
208.1 |
|
Global Smaller Companies |
23.7 |
32.7 |
64.8 |
12.4 |
206.7 |
|
Japan |
18.2 |
32.0 |
62.5 |
39.6 |
178.3 |
|
Growth Capital |
17.3 |
49.9 |
115.1 |
-40.8 |
N/A |
|
Global |
15.5 |
29.7 |
84.3 |
28.6 |
307.3 |
|
Commodities & Natural Resources |
13.1 |
62.3 |
71.3 |
92.1 |
97.2 |
|
Infrastructure |
10.7 |
18.9 |
28.4 |
16.0 |
186.3 |
Source: theaic.co.uk / Morningstar. Share price total return in % to 30/06/26.
Tech and AI might be more heavily represented in the top-performing investment trust sectors than is initially apparent: the theme is also having a significant impact “in Asia and emerging markets where some of the world’s largest AI hardware and microchip manufacturers are based”, said Brodie-Smith.
It has also been a good six months for global small caps, with the sector returning 23.7% on average to make it the fifth-best-performing investment trust sector. The average Japan-focused investment trust, meanwhile, returned 18.2%.
Which investment trusts were the top performers in H1 2026?
While technology was the top-performing investment trust sector overall, the top-performing individual investment trust came from the commodities sector.
Baker Steel Resources (LON:BSRT) returned over 65% in the first six months of the year. The trust is a diversified commodities investment trust; it holds producers of precious metals like gold and silver, but as of 31 March its portfolio has the largest weighting towards tungsten producers – making up 23% of assets.
|
Investment trust |
AIC sector |
Share price total return in % |
Header Cell – Column 3 | Header Cell – Column 4 | Header Cell – Column 5 | Header Cell – Column 6 |
|---|---|---|---|---|---|---|
| Row 0 – Cell 0 | Row 0 – Cell 1 |
H1 2026 |
1 yr |
3 yrs |
5 yrs |
10 yrs |
|
Average investment trust |
Row 1 – Cell 1 |
9.4 |
21.1 |
48.2 |
28.9 |
171.5 |
|
Baker Steel Resources |
Commodities & Natural Resources |
65.2 |
104.0 |
187.6 |
35.5 |
433.3 |
|
Seraphim Space Investment Trust |
Growth Capital |
56.5 |
119.4 |
595.6 |
N/A |
N/A |
|
Polar Capital Technology |
Technology & Technology Innovation |
53.7 |
96.2 |
223.4 |
201.1 |
1,040.8 |
|
Pacific Horizon |
Asia Pacific |
50.0 |
92.2 |
119.5 |
40.2 |
538.6 |
|
JPMorgan Asia Growth & Income |
Asia Pacific Equity Income |
45.7 |
76.0 |
108.5 |
56.3 |
310.5 |
|
Manchester & London |
Technology & Technology Innovation |
45.6 |
47.8 |
185.5 |
127.2 |
540.6 |
|
Fidelity Emerging Markets |
Global Emerging Markets |
43.5 |
99.2 |
178.5 |
84.9 |
238.3 |
|
Templeton Emerging Markets Investment Trust |
Global Emerging Markets |
42.9 |
80.9 |
146.0 |
90.5 |
322.3 |
|
Allianz Technology Trust |
Technology & Technology Innovation |
42.7 |
77.4 |
187.0 |
155.4 |
1,112.9 |
|
Schiehallion Fund |
Growth Capital |
39.7 |
73.6 |
213.9 |
8.8 |
N/A |
Source: theaic.co.uk / Morningstar. Share price total return in % to 30/06/26.
Technology is unsurprisingly a recurring sector in the rest of the 10 top-performing investment trusts list. Three of the trusts – Polar Capital (LON:PCT), Manchester & London (LON:MNL) and Allianz Technology (LON:ATT) – are all designated to the technology and innovation sector by the AIC, while Seraphim Space (LON:SSIT) and Schiehallion Fund (LON:MNTN) have significant overlap with technology as a theme.
Asian and emerging market trusts like Pacific Horizon (LON:PHI) also featured amid the AI boom. Pacific Horizon’s top two holdings as of 31 May were chipmakers Samsung and Taiwan Semiconductor.
“The strong performance is extremely welcome, but this is only a snapshot. It is important to remember that investing is a long-term commitment and that any sector or trust should form part of a broader, diversified portfolio,” said Brodie-Smith.
