Investment Adviser articles from December 2006

Investment Adviser archives from December 2006

Record inflows signal property market peak.
December 4, 2006... Byline: Analyst claims Property sector is overpriced on any metric and suggests caution property Record investment into the property sector in 2006 is a harbinger of the market near its peak, with share prices expensive on any metric,...

Middlemen triumph as IMA reveals hit October.
December 4, 2006... fund sales Investment business through intermediaries saw record inflows in October, statistics from the Investment Management Association revealed. IMA chief executive Richard Saunders said investment advisers accounted for 86 per...

Ucits III not being used to potential.
December 4, 2006... UCITS III Equity managers are failing to make full use of Ucits III, according to BlackRock Merrill Lynch manager Mark Lyttleton. Under the regime, the range of financial instruments permitted includes derivatives, contracts for...

Investment trusts charges are plummeting, says AIC.
December 4, 2006... Charges levied by investment trusts have fallen for the second year running, according to the Association of Investment Companies. The AIC's research showed 28 per cent of investment companies now charge less than 1 per cent. Last year...

Film fund to hit CSX.
December 4, 2006... Byline: Cayman Island stock exchange welcomes Aramid Entertainment share class launch alternative investments Aramid Entertainment, the asset-backed lending hedge fund that finances the film and television industry, has launched a new...

Backwardation and contango for novices.
December 4, 2006... Byline: ETF Securities' commodities ETFs are a great idea, but sadly only in principle W hat do you think when someone launches a fund enabling small investors to do what large investors have been doing for years? A great opportunity to...

Transfers should be reversible, says BSA.
December 4, 2006... Byline: Industry body says a decision to only allow transfers from cash to equity Isas is unfair isas The government must allow transfers between equity and cash Isas to flow in both directions, according to the Building Societies...

Cofunds set to ease equity deal work.
December 4, 2006... Cofunds has launched a nominee service for stockbrokers and discretionary asset managers to help them with equity dealing processes. It will allow stockbrokers and discretionary asset managers to include and integrate the dealings and...

Invista European property trust floats with AGBP2 shares.
December 4, 2006... The Invista European Real Estate trust floated on the London Stock Exchange last Monday. Shares were made available in the trust, formerly the property fund management arm of Insight Investment Management until its own IPO in September, at...

"A constant flow of opportunities" in US.
December 4, 2006... Byline: M&G and Martin Currie managers see sector as relatively attractive for investors us equities American companies are reporting better than expected earnings, keeping valuations attractive for M&G manager Aled Smith. Mr...

appointments.
December 4, 2006... PricewaterhouseCoopers has appointed Marc Saluzzi (pictured) as the new global head of its investment management and real estate group. Mr Saluzzi has been a partner at PricewaterhouseCoopers since 1996. In his new role, he will be responsible...

M&G Optimal enters bond market arena.
December 4, 2006... Byline: The fund is set to be launched this Friday and will be managed by Richard Woolnough fund launch The M&G Optimal fund will launch this Friday seeded with AGBP50m after securing FSA approval. The fund will take advantage of...

Newcob proposals not enough, says IMA.
December 4, 2006... regulation The Investment Management Association has warned the FSA that its Newcob proposals do not go far enough. Richard Saunders, chief executive of the IMA, has called for the removal of funds under the "packaged product regime"....

Trail blazing property fund of funds on way.
December 4, 2006... PROPERTY New entrant to the fund management industry, Seven Dials Consulting, will launch the first commercial property fund of funds today, offering UK investors access to European bricks and mortar. Seven Dials will join an elite few...

GAM hard closes two top funds.
December 4, 2006... global equities GAM is to hard close its AGBP691.3m Global Diversified and AGBP624.7m UK Diversified funds to protect against any future underperformance. The funds, both managed by Andrew Green, will be closed on 29 December, or...

Trevor Falle.
December 4, 2006... Investment Adviser: As an offshore operation, what has driven your decision to move into the UK market? TF: Ashburton has been around for 24 years in Jersey. The founders had significant connections in South and East Africa. Then about 10 years...

Sean Taylor.
December 4, 2006... Investment Adviser: What is your investment philosophy? Sean Taylor: I have three main investment beliefs that I apply to the emerging markets. First, asset allocation is key: the country and sector selection quite often override stock...

Rolling with the punches in oil and gas.
December 4, 2006... Byline: Investors are fixated on oil, but are they overlooking the opportunities in natural gas? Over the last four decades, less oil has been found every year. This trend is alarming in itself, but more frightening is the fact that over...

Signs of vitality have been exaggerated.
December 4, 2006... Byline: Laissez-faire capitalists are viewing November's M&A frenzy with alarmingly uncynical eyes Faced with November's "Merger Monday" - AGBP26.87bn in announced mergers and acquisitions, including the biggest private-equity buyout in...

Buoyancy and optimism rule the roost.
December 4, 2006... Byline: Stock market highs and house price surges may reflect an extended bubble or short-term luck Financial markets are enjoying a remarkable phase of health. The result is bumper bonuses for investment bankers in London and New York,...

Time to reassess.
December 4, 2006... It is often said astute investors get worried when cabbies begin to make stock recommendations to unsuspecting passengers. Equally it is time for a re-think when retail inflows reach the proportions recently seen in the IMA UK All Companies...

Diary.
December 4, 2006... Celebrity managers to the fore When canvassing IFAs on their memories of 2006, Roddy Kohn of Kohn Cougar fame said his year had been characterised by the increasing appearance of fund managers' faces on billboards and glossy advertising....

And the award goes to...
December 4, 2006... Before announcing the Threadneedle Spectator Parliamentarian of the Year last week, the asset manager conducted a survey of IFAs to see who they thought should win. The results paint a curious picture, with David Cameron coming first and Boris...

Scottish Widows meets Las Vegas.
December 4, 2006... Guests at Scottish Widow's 20th Anniversary party were given a dramatic display of the company's history from the three women who have played the investment icon. But with stormy sound affects and billowing red satin on stage preceding the...

Way offers flexible portfolio.
December 4, 2006... fund launch The Way Group has launched a portfolio that will automatically rebalance client exposure to three underlying active, balanced and cautious funds based on their determined risk parameters. The Way Tax-efficient Portfolio...

The whole truth and nothing but.
December 4, 2006... Paul Wilcox, fund manager for The Way Group, is hoping to move into retail with the help of a well-connected hardman of PR. David Andrews' claim to fame is starring in a film with cockney bad boy Ray Winstone, but poor David's character was...

Has Witan gone to the dogs?
December 4, 2006... The boys at Witan are considering a new kind of investment - a company greyhound. Inspired by an outing to Kempton Park racecourse, James Budden told one journalist they were thinking about buying a racing dog to spin a little extra cash....

Gaining a high profile.
December 4, 2006... Byline: Products will play a major a role in the future of investment, but providers must first determine what IFAs need The wrap market is starting to raise its profile in the UK, with new entrants being reported, existing platforms being...

The Reit time is nearly here.
December 4, 2006... Byline: When the clock strikes midnight on 31 December, UK investors will gain another choice In just a few weeks we will see the implementation of Real Estate Investment Trusts - many years after they were first introduced in the US, but...

Warehouses of the wholly wise.
December 4, 2006... Byline: Astute investors are looking not only at commercial property as a whole, but at logistics in particular Warehouses and logistics units may be an unglamorous investment prospect, but there is no doubt that their attraction is...

Roar Asian tigers, roar.
December 4, 2006... Byline: Investors would be unwise to overlook the opportunities which some smaller Asian economies offer Tiger tiger, burning bright? Having been fortunate enough to visit South East Asia recently, the experience certainly led me to...

Inside Pandora's box.
December 4, 2006... Byline: Emerging markets are on the radar for most IFAs, although they are not buying into them wholeheartedly Like Pandora's box, emerging markets are holding the investment industry in their thrall. There is a clear sense that they have...

Make way for the new breed of Bric.
December 4, 2006... Byline: Although the Bric nations are the emerging market leaders, many other developing nations offer excellent value Ever since Goldman Sachs launched the Bric thesis - that Brazil, Russia, India and China could become the world's...

Taking the lift right to the very top.
December 4, 2006... Byline: While growth never occurs in a straight line, the only way is up for Brazil, Russia, India and China The Bric economies have been among the strongest growing regions in the world in recent years. This year alone, the markets have...

Better than a poke in the eye.
December 4, 2006... Byline: Managers claim corporate bonds seem to have fared better than cynics and strategists imagined In the words of one fund manager, it has been an odd year for bonds. The UK's exceptional economic growth, expected to be 2.6 per cent...

Barclays tips increase in ETF inflow.
December 4, 2006... Barclays Global Investors are anticipating strong inflow into exchange traded funds following chancellor Gordon Brown's plan to scrap stamp duty on non-residential ETFs. Chris Sutton, chief executive for iShares Europe, said: "This is good...

Trying to escape from between a proverbial rock and a hard place.
December 4, 2006... Style exposure Corporate bond fund managers are in a position not dissimilar to Jason and the Argonauts, trying to sail safely through the clashing rocks. Still in unfortunately NICE waters (nod to Bank of England governor Mervyn King's...

With no sign of which way the market will turn, there are no wrong moves.
December 4, 2006... As sleepy corporate bond yields have dropped lower, UK managers have struggled to stay awake, let alone find opportunities to exploit. With interest rates at 5 per cent and gilt yields retreating, demand for corporate bonds has risen - making...

RBSA methodology and caveats.
December 4, 2006... Returns-based style analysis, or RBSA, is a four-stage process: Select a set of benchmarks for each fund, or class of fund. These benchmarks should be mutually exclusive, exhaustive (they should cover each fund's known universe of...

Successful funds seek out maturity.
December 4, 2006... The bond market is not an especially appealing place these days. Yields are low, spreads are tight despite some recent widening, and the interest rate outlook is uncertain at best. In this environment, going with what has worked best in the...

An uncertain 2007 drives move to quality bonds.
December 4, 2006... Since taking over the AGBP497.6m Aegon Sterling Corporate Bond fund in March 2003, David Roberts's leadership has proved beneficial to performance. According to Standard &Poor's, the fund is consistently top quartile - it is third out of 84...

Specialist Funds commentary by Standard & Poor's.
December 4, 2006... While equity markets have continued to perform well, unit trust performances have been strong over the last three months, with an overall average return of 4.9 per cent. In this context, themed funds performed well, in particular Technology &...

Old Masters make new cash.
December 4, 2006... Byline: Rather than enduring the whimsical cyclicality of the contemporary art market, tuck in to the classics Picture the scene. You have invited the couple from next door round for dinner. You sit them down, offer them a drink and as you...

Heavy lending is making companies vulnerable.
December 4, 2006... Investors with a strong exposure to infrastructure-based assets could be in for some nasty surprises in 2007, according to Invesco Perpetual. Graham Proudfoot, head of specialist funds at the fund manager, said: "We have been noticing that...

Unicorn fund climbs the cap ladder.
December 4, 2006... small caps Unicorn Asset Management is re-positioning the AGBP23m Unicorn Free Spirit fund towards the top end of the small cap market. Fund manager Chris Hutchinson said in the future the market capitalisation entry point for the...

Shareholders under threat.
December 4, 2006... Corporate governance systems in the UK and many other major countries are failing to protect shareholder interests, according to new research. Lloyd's Register Quality Assurance claimed only 38 per cent of medium-sized and large UK...

Equity exposure not a guaranteed ticket.
December 4, 2006... Byline: Success may not be long-lasting using time-honoured method, claims Old Mutual uk other bonds Top performing funds within the IMA UK Other Bonds sector have historically owed their high returns to their equity exposure, Old...

Goldman Sachs ramps up Chindia and EM forecasts.
December 4, 2006... EMERGING MARKETS Goldman Sachs sharply upgraded its economic forecasts for India, China and other emerging economies but said the growth would not stoke inflation. Jim O'Neill, the investment bank's head of global economic research,...

Rathbone finds more US value, buying Dolby stock.
December 4, 2006... Byline: Global Opportunities manager says bargains are still to be found despite fears of a slowdown in the nation global equities Audio technology giant Dolby is music to the ears of fund manager James Thomas, who has increased the...

M&A on the rise, says ABN Amro.
December 4, 2006... M&A The number of leveraged buy-outs and mergers and acquisitions will soon top the amount seen at the end of last century, ABN Amro has predicted. The fund manager warned the activity could put large companies at risk as they ate...

Ingenious Music VCTs bet on new artists being a hit.
December 4, 2006... The Ingenious Music VCTs have invested in three new acts, and a further eight deals are in the final stages of negotiation. Ingenious Music VCT One and VCT Two have invested AGBP2.6m in the debut albums of bands Passenger and Apartment and...

Axa, Winterthur join forces.
December 4, 2006... pensions Axa and Winterthur are aiming to cover all bases in the IFA pensions market next year. From January, Mike Kellard, chief executive of Winterthur, will head up Axa's wealth management group, which includes the individual...

US dependency drops.
December 4, 2006... Byline: China and India are growing steadily less dependent on the US for growth drivers asian equities China and India are leading Asia's steadily declining dependency on the US for its growth drivers, according to Invesco Perpetual....

UBS revamps its Asian Equity fund in good time.
December 4, 2006... asian equities UBS is confident that it has got the timing right over its plans to restructure its underperforming AGBP16m Developed Asia Equity fund to focus on emerging countries. From this week, the fund will be known as the UBS...

Corporates to get more eco friendly.
December 4, 2006... The Stern report will be seen as a watershed as investors begin to expect companies to behave more environmentally friendly, Royal London Asset Management said. The report is part of a shift in attitudes in which businesses, and not...

Germany attractive despite its high valuation figures.
December 4, 2006... Germany remains attractive to investors despite high price/earnings ratios, ABN Amro Asset Management said. Guido Van der Burg, manager of the AGBP158.76m ABN Amro Germany Equity fund, has been positive on the future of the nation since...

Skandia, Selestia merger on track.
December 4, 2006... Byline: The integration of Skandia MultiFunds and Selestia's fund platforms should be finished and ready for use by summer 2007 platforms Skandia MultiFunds and Selestia's fund platforms should be combined and ready for use by...

Majedie sees AGBP3.8m growth in net return.
December 4, 2006... Majedie Investments' achieved a 69 per cent increase in net revenue in the 12 months to the end of September, the company's unaudited results revealed. According to Majedie's results, the net return went up from AGBP5.5m to AGBP9.3m in the...

Best execution rules to affect Mifid implementation costs.
December 4, 2006... The cost of implementing Mifid could still change depending on what is decided about best execution rules, according to Atos Consulting. Paul Beach, head of investment banking at Atos Consulting, said the FSA's estimate that the cost of...

St James's expands.
December 4, 2006... Byline: Financial services group broadens investment styles with three new managers and funds unit trusts St James's Place has widened its funds proposition by bringing in three new fund managers and six new investment funds. The...

FSA jumps the gun with CRD red tape.
December 4, 2006... FSA authorisation forms now cover the Capital Requirements Directive. Although the directive comes into force on 1 January 2007, the forms were in use from last week to account for the duration of the authorisation process. The...

China energy stocks on the up as green stance pays off.
December 4, 2006... China's decision to back eco-friendly energy should boost stock prices within the AGBP178m F&C Stewardship fund, according to its manager. Sophie Horsfall, co-manager of the fund, said the Chinese government's decision to build the world's...

Macau on the cards for Insight MM team.
December 4, 2006... Byline: Chinese territory set to benefit from unique position as the region's gaming capital asian equities Insight Investment's multi-manager team has moved to make the most of Macau's gaming boom. The team, led by Patrick...

Neptune Multi-Manager Income.
December 4, 2006... The AGBP12.7m Neptune Multi-Manager Income fund is the best performing fund over 10 years within Trustnet's Income & Bond sector. Over the past decade the fund returned 139.3 per cent, making it number one out of the 40 funds in the sector....

Metals fund launches on Aim.
December 4, 2006... precious metals The first London-listed fund dedicated to investing in listed equities in the precious metals sector, Golden Prospect Precious Metals, has started trading on the Alternative Investment Market. Ambrian Asset Management,...

Hedge funds boost Old Mutual Global.
December 4, 2006... Strong returns from the AGBP78.8m Old Mutual Global Dynamic fund's hedge fund holdings has helped prop up performance, according to fund manager Tracey Lander. Ms Lander said: "Hedge funds, in particular market neutral funds, are the best...

New Star eschews dollars as euro hits 20-month high.
December 4, 2006... Craig Heron, co-manager of the AGBP13.62m New Star North American Portfolio, has been shorting the dollar to cover currency risk within the portfolio. Mr Heron said: "We have sold the forward contract and have given up any appreciation of...

HSBC reveals tactics.
December 4, 2006... Byline: Global Distribution fund manager advocates tactical fixed interest as more dynamic fixed income Tactical fixed interest offers a far more dynamic approach to generating yield than traditional fixed interest, according to Nick...

New Star's Tri-Star joins with Skandia.
December 4, 2006... New Star's Tri-Star unit trust is now available via Skandia's life, pension and fund supermarket fund ranges. The trust is managed by Gregor Logan, joint chief investment officer for New Star, who is responsible for asset allocation,...

EM economies provide new opportunity thanks to debt.
December 4, 2006... Local currency debt markets are providing unexploited opportunities in emerging countries, Baring Asset Management said. The asset manager believes untapped areas of growth should evolve as the next stage of development, as economies shift...

Overpaying pensioners lose out.
December 4, 2006... ANNUITIES Annuitants who have paid too much tax risk losing that amount unless the government changes its mind about deadlines for claims, warned tax reformers. Robin Williamson, technical director of the Low Incomes Tax Reform...

Sipps lose allure as Isas are shining on.
December 4, 2006... The popularity of self-invested personal pensions has dropped by 21 per cent since July, Standard Life's Savings and Investment index showed. The poll of the nation's savings habits showed personal pensions also fell in popularity by 18...

With profits relaunch gives Liverpool Victoria a leg up.
December 4, 2006... Liverpool Victoria has re-launched its with profits pension annuity. As part of the relaunch, the friendly society has reduced the smoothing period for new annuity business from five to two years for top-up bonuses. Ian Blanchard,...

Scottish predicts end to stock market rally.
December 4, 2006... Byline: Investment trust company says scope for high annual returns will diminish in 2007 uk equities Scottish Investment Trust has predicted a tough 2007 despite posting an 18.7 per cent annual increase in its net asset value. ...

Glasgow IT marks up strong returns.
December 4, 2006... Glasgow Income Trust has reported a 22.4 per cent total return on net assets and a 24 per cent share price return. Both were ahead of the company's benchmark, the FTSE All-Share index, which returned 14.7 per cent in total in the year to 30...

German equities rally steams on.
December 4, 2006... european equities The five-month rally in German equities is expected to continue into 2007 as the country's economy improves, according to ABN Amro. Guido van der Burg, portfolio manager for the bank's German Equity fund, said: "The...

Key points from 2006 Pre-Budget Report.
December 11, 2006... Isa accounts have been made permanent beyond 2010 with an overall annual investment limit of at least AGBP7000. Personal equity plans have been brought within the Isa wrapper. Mini/maxi distinction has been removed within Isas. ...

Tilney lightens load.
December 11, 2006... Byline: Asset house unveils wealth management service allowing IFAs to outsource labour client servicing Advisers can now offer clients their own wealth management service by setting up a master account with Tilney Investment...

Markets hold steady in '07.
December 11, 2006... market forecast After three years of exceptionally good returns, stock markets are expected to make further modest gains in 2007, according to Norwich Union economist Stewart Robertson. Mr Robertson said returns of 6 per cent to 10 per...

Renminbi to be regional driver, says Allianz's Chan.
December 11, 2006... Byline: Currency appreciation to ignite virtuous cycle increasing foreign investment in China and the wider region EMERGING MARKETS Appreciation of the Chinese currency, renminbi, could be a key driver in performance for Asia,...

JPM beats path to global equities.
December 11, 2006... global equities JPMorgan Asset Management's launch of a global equity income fund shows how willing investors are to embrace international dividend streams, according to advisers. Justine Fearns, research manager for Bath-based IFA AWD...

Cofunds welcomes five Lord Abbett funds to the platform.
December 11, 2006... Lord Abbett, the UK business arm of Lord Abbett & Co, is putting five of its UK-domiciled funds onto the Cofunds platform. IFAs will now have access to the following five Lord Abbett funds: the AGBP34.4m US Affiliated, AGBP4.7m Global Bond,...

Nucleus wrap is born.
December 11, 2006... Byline: Platform to go live by Christmas following FSA rubber stamp and final testing process platform launch Nucleus, the IFA-owned wrap platform, is set to go live before Christmas. The platform, which received approval in...

New Star and Fidelity retort.
December 11, 2006... fund marketing New Star and Fidelity have hit back at critics who said their new offerings were not what they claimed to be. James Davies, investment research manager for Surrey-based IFA Chartwell, described New Star's AGBP20m...