Fund Launches
Fidelity to Launch Emerging Asia Fund
Subject to FSA approval, Fidelity will next month launch an OEIC version of its Emerging Asia Fund, which was first launched as a SICAV in April 2008. The fund is managed by Teera Chanpongsang, who also manages the Fidelity India Focus Fund, which is rated Standard by Morningstar analysts. Chanpongsang aims to generate long-term capital growth by investing in areas where high economic and earnings growth are evident and also in new frontier countries. This excludes more developed markets such as Taiwan and Korea. The fund has an actively managed portfolio of typically 80 to 120 ‘best ideas’ without any predetermined style, industry or market cap bias. The fund has a weighting of 33% China, 33% India & Pakistan, 33% ASEAN ex Singapore, and may also invest in countries not included in the benchmark.
JPMorgan Tweaks Two UK Funds
From August, JPMorgan Asset Management’s Premier Equity Growth Fund will be renamed JPM UK Equity Fund and Premier Equity Income Fund will become known as UK Higher Income Fund. The renaming of the two UK funds accompanies a change in investment objective that aims to more accurately reflect the funds’ underlying holdings and to more closely align them with other funds in the JPMorgan onshore open-ended range. The changes do not affect the two funds’ risk profiles or their management.
New First State Fund Goes Down Under
First State Investments has launched the Australian Growth Fund, which aims to provide long-term capital appreciation by investing in large cap stocks Australian companies that have healthy balance sheets, strong earnings and good prospects to outperform peers over the medium-to-long term. The fund is managed by Naz Ressas, from First State’s Australian Equities Growth team, and will typically invest in 25 to 50 Australian-listed companies, though it can also invest in companies that are incorporated or have the majority of their economic activity in Australia but are listed on regulated markets elsewhere in the world.
Robeco Rolls Out Emerging Asia Fund
Robeco, part of Dutch firm Rabobank, has launched the Robeco Asian Stars Equities fund, which invests in 30 to 40 Asian emerging markets stocks. The fund focuses on undervalued Asian stocks, each of which represents 2%-5% of the portfolio. The fund is managed by Michiel van Voorst, supported by Nimesh Chandan, Victoria Mio and Arnout Rijn. Rijn manages the Robeco Asia Pacific Equities fund, which is rated Superior by Morningstar analysts, and Victoria Mio manages the Robeco Chinese Equities fund, rated Standard.
Schroders Adds Third RDR-Friendly Fund
Schroders is to offer a third RDR friendly fund, the Schroder Dynamic Multi-Asset Fund (DMAF), which is a reconstruction of the existing Schroder Diversified Target Return Fund. The fund will be available at the start of August and is designed to provide a low cost, lower risk, transparent alternative to passive investing. Schroder DMAF aims to achieve a target return of CPI plus 4% per annum net of fees over a market cycle (typically five years), with half to two-thirds of global equity volatility. The fund’s D unit class, which will be offered to investors via platforms, will have a total expense ratio capped at 50 basis points. DMAF will be managed by Johanna Kyrklund, Head of Multi-Asset Investments at Schroders. It is the third fund in Schroders' low-cost active investment range, following the launch of the Schroder UK Core and Schroder QEP Global Core funds.
UBS Launches Two More High-Dividend Funds
UBS Global Asset Management has added to its high-dividend fund range with the launch of UBS Asia High Dividend fund, managed by Shou-Pin Choo, and UBS Emerging Markets High Dividend fund, run by Urs Antonioli. The former targets a 4% dividend yield before fees, while the latter aims to achieve a 4.9% dividend before fees.
Vanguard Launches Five Low Cost ‘Lifestyle’ Funds
Vanguard has launched a range of LifeStrategy funds of index funds in the UK. The five funds carry annual management charges of between 0.29% and 0.33% and are designed to suit a range of differing risk/reward profiles. Each fund is built using a preset broadly diversified asset allocation with automatic rebalancing to avoid drift and ensure the fund stays in line with the investor’s objectives. The funds are a targeted mix of global equities and UK bonds ranging from 20% to 100% equity and built using existing Vanguard index funds. Vanguard has managed similar funds in the US and Australia since 1994.
Manager Moves
BlackRock’s Burstow Returns to Barings
Barings has taken on Clive Burstow as director and resources investment manager in its global energy and materials team. Burstow arrives from BlackRock, where he was a vice president with responsibility for analysis and investment across the mining sector, having previously been employed by Barings for the three years as an analyst. Burstow will assist Jonathan Blake in the management of the Baring Global Resources Fund, which is rated Standard by Morningstar analysts, while also carrying out his own research and generating stock ideas.
Fidelity’s Di Bon Moves to Alliance Trust
Ilario Di Bon, formerly head of institutional global equities at Fidelity International, will join investment company Alliance Trust as head of global equities at the beginning of July. Morningstar analysts have placed their Superior rating on the Fidelity Global Opportunities fund under review following the news, while they assess the impact of former-manager Di Bon’s departure and meet with new manager Sudipto Banerji to discuss his plans for the fund.
Henderson’s Gledhill Arrives at Axa
James Gledhill, who left Henderson Global Investors earlier this month, has been hired by Axa Investment Management as global head of high yield and deputy head of credit. Gledhill takes up the new role next week, in which he takes over from Hannah Strasser, Anne Yobage and Thomas Kelleher, who have all now left the firm.
Miller’s Jupiter European Income Fund Passes to De Fonclare
Cédric de Fonclare will take on the management of the Jupiter European Income Fund from Malcolm Millar, who is leaving the company on July 15. De Fonclare was awarded Morningstar Fund Manager of the Year: European Equity earlier in March of this year for his Jupiter European Special Situations fund, rated Superior by Morningstar analysts. Millar has run the European Income fund since September 2007, having joined Jupiter nine years ago. European Income’s mandate will not be affected by the management change.
UBS’s Jolly Moves to Schroders
Schroders has hired Bob Jolly as head of global macro within its fixed income team. Jolly takes up his new role in September from UBS, where he was head of global sovereign, currency and UK fixed income portfolio management. In his new role, Jolly will also become lead manager of a number of macro and multi-sector portfolios that include aggregate, sovereign and absolute return strategies.
