Investment Adviser articles from February 2009

Investment Adviser archives from February 2009

Insight sets out multi-asset group.
February 2, 2009... Byline: Nick Rice Insight Investment has announced the final structure of its multi-asset group after three key employees left last year. Patrick Armstrong and Ana Cukic Armstrong, co-heads, and Toby Hayes, director of investment...

Switzerland... the final frontier?
February 2, 2009... Byline: Laura Hughes Most commentators on this year's World Economic Forum in the Swiss ski resort of Davos have noted the sombre tone of preceedings, in contrast to previous year's ebullience. However, the credit crunch doesn't seem to...

Toby was dressed for success on Burns' Night.
February 2, 2009... Byline: Nick Rice Less than a year into his new job at Martin Currie, Toby Hogbin has apparently gone native. After a heavy haggis (and maybe a few drinks?) on Burns' Night, the head of product development says he is contemplating...

Smaller funds in trouble: F&C.
February 2, 2009... Byline: Nick Rice Asset management firm's head of multi-manager predicts mergers and fund closures, as well as sales to more powerful players Managers have reaffirmed their commitment to sub-GBP30m funds after F&C Asset Management...

Resolution posts GBP700,000 loss.
February 2, 2009... Byline: Sharon Flaherty Resolution has posted a loss of GBP700,000 related to initial operating expenses for its first trading quarter. The company, which started trading on October 9 2008, listed on the London Stock Exchange on...

New green venture to treat waste.
February 2, 2009... Byline: Jim Robinson New Earth Energy, the renewable energy business recently set up by the UK recycling and waste management company New Earth Solutions, has partnered with Biossence - the UK arm of European environmental investors...

New Canada Life funds in response to volatility.
February 2, 2009... Byline: James Kenny Canada Life has launched two new funds to combat market volatility. The Gilt and Bond and the Defensive Cash Plus funds will be included in the group's onshore range of life and pension products. The former will...

Barclays Wealth reissues defined returns plan.
February 2, 2009... Byline: James Kenny Barclays Wealth is reissuing its five-year Defined Returns Plan Annual Kick-Out with a new investment option. The product has a new selection called the AKO 80, aimed at investors wanting less risk and an early...

Pseudonym's corner.
February 2, 2009... Byline: Hugo Greenhalgh Diary knows its readers can occasionally be a cantankerous bunch. Opinionated, loud and forthright - we wouldn't have it any other way. Which is why we were initially surprised by the 20 per cent of respondents to...

Eurocape 3 to close on March 13.
February 2, 2009... Byline: James Kenny The Eurocape 3 fund, a property and land fund run by Eurocape Property Finance, is set to close to investors on March 31. The fund, operated by Acorn Corporate Finance, is a secured asset-backed vehicle that lends...

Castlestone refuses fund meld.
February 2, 2009... Byline: Rob Langston Castlestone Management has revealed it has been approached by hedge fund managers interested in consolidating with the asset manager's hedge fund. The alternative asset manager has received approaches from managers...

Star managers welcome Henderson takeover.
February 2, 2009... Byline: Rob Langston Aquisition means Henderson likely to jointly brand New Star funds Henderson's GBP115m takeover of New Star has been welcomed by the embattled asset manager's high-profile star managers, according to Henderson chief...

LV= launches UK Equity Income fund.
February 2, 2009... Byline: Nick Rice LV= Asset Management has launched a high-yielding UK Equity Income fund that will use derivatives and other instruments to maximise income as dividends come under stress. The UK-domiciled fund, which LV= has seeded...

Martin Currie hails Japan's balance sheet.
February 2, 2009... Byline: Nick Rice Investment manager praises 'shareholder-friendly' Japanese firms despite GDP drop Japan is weathering its dire earnings and GDP forecasts with one of the world's cleanest balance sheets, according to Martin Currie...

Hawksmoor prepares for fund of funds.
February 2, 2009... Byline: James Kenny Former iimia fund manager Richard Scott is gearing up to launch a new multi-asset fund of funds with Hawksmoor Investment Management. Mr Scott joined the Exeter-based firm in December and was tasked with setting up...

Plenty of freedom and varied results.
February 2, 2009... Byline: Laura Hughes Performance across the Sterling Strategic Bond sector has been varied When the Investment Management Association reorganised its fixed income universe on September 1 2008, it apportioned the greatest amount of...

Fitch expects more trouble for FOHFs.
February 2, 2009... Byline: Rob Langston Last year's sector losses were unparallelled in recent times, reports ratings agency The future of the fund of hedge funds (FOHFs) sector remains increasingly uncertain after experiencing some of the worst...

Quarter of FTSE 100 trading below liquidation price.
February 2, 2009... Byline: James Kenny DigitalLook claims directors may have to seek mergers or sell assets to realise value More than a quarter of FTSE 100 companies are now trading below their liquidation price, which could lead to investors putting...

Veritas fears effects of war on deflation.
February 2, 2009... Byline: Jim Robinson Asset manager warns authorities will fail to grasp full consequences of measures The failure of governments to strike the right balance between reflation and deflation will lead to abnormally high inflation levels...

Soul searching.
February 2, 2009... Byline: Hugo Greenhalgh Last week, MPs were told by City financiers that accusing hedge funds of causing the current financial crisis was like "blaming the passengers" in a bus crash. One manager claimed "the industry is not sitting there...

Tilney makes Charalambous investment director.
February 2, 2009... Byline: Jim Robinson Tilney, the UK arm of Deutsche Bank Private Wealth Management, has appointed Kypros Charalambous as an investment director. Mr Charalambous, who joins from Barclays Wealth, will work in Tilney's Birmingham office,...

Santander offers compensation to Madoff investors.
February 2, 2009... Byline: Sharon Flaherty Spanish bank Santander has offered to repay investors who lost out over the Madoff scandal to the tune of 1.4bn (GBP1.3bn). Last month, Wall Street trader Bernard Madoff allegedly carried out a $50bn (GBP35bn)...

Barings appoints Matthew Finch as sales director.
February 2, 2009... Byline: Dominic Welling Baring Asset Management has appointed Matthew Finch as its sales director for UK retail distribution from Credit Suisse Asset Management. Mr Finch, who will officially join in February, will be responsible for...

Fidelity unconvinced by absolute returns funds.
February 2, 2009... Byline: Stephen Wilmot Absolute return funds have yet to prove the long-term credibility of their strategies, according to Robert Higginbotham, president of Fidelity International's European operations. "Absolute returns is an...

In the footsteps of Giants.
February 2, 2009... Byline: Rob Langston Diary was recently commiserating with Tom Anderson, director of investor relations at hedge fund manager Yorkville Advisors. As if the credit crisis and the downturn in the hedge fund sector wasn't enough for the...

The BoE's GBP50bn shopping spree.
February 2, 2009... Byline: Hugo Greenhalgh Analysts don't agree on the benefits of the Bank of England's latest asset-purchase plan Questions have been raised about the potential impact of the Bank of England's GBP50bn asset-purchase facility, which is...

3i reveals top-50 in slump.
February 2, 2009... Byline: Rob Langston Private equity investment trust 3i Group has revealed the value of its top 50 investments has slumped by more than 20 per cent, as the downturn in the sector continues to hit funds hard. In the fund's interim...

The bond quandary for multi-managers.
February 2, 2009... Byline: Daniel McAllister What are the risks of investing in 'sure fire' government bonds? Bonds, once the boring investment choice in times of plenty, are now the favourites of the fund management industry, with managers and...

Skandia reports growing demand for fixed interest.
February 2, 2009... Byline: Sharon Flaherty Investors have shown increased demand for international fixed-interest funds over the past 12 months, with property and active managed sectors falling in popularity. Research from Skandia into which sectors...

Aegon appoints new group development director.
February 2, 2009... Byline: Gemma Westacott Aegon UK has hired former HBOS managing director of commercial business Adrian Grace to the newly created executive role of group development director. Mr Grace, who will report directly to chief executive Otto...

S&P sees volatility hurting Mena funds.
February 2, 2009... Byline: Rob Langston Fund managers are optimistic about the long-term future of Middle East and North Africa (Mena) funds, but short-term worries remain, according to Standard & Poor's Fund Services. In its second annual review of the...

Mutual funds shrinking, says IMA.
February 2, 2009... Byline: James Kenny Mutual funds in the UK shrank by 22.3 per cent last year, as the credit crunch drove down investment values across all asset classes, according to the IMA. The organisation said funds under management in the UK fell...

Assetz predicts renewed hope for property market.
February 2, 2009... Byline: James Kenny Property developers have begun raising the prices on distressed housing stock sales, a clear sign the property market may be reaching bottom, according to property specialist company Assetz. The property market as a...

F&C reveals changes.
February 2, 2009... Byline: Nick Rice Head of multi-manager said changes made in response to 'second-worst year' F&C Asset Management's multi-manager team revealed further changes to its investment process in 2008 in response to what it described as "the...

The value of experience.
February 2, 2009... Byline: Chris Traulsen and Nitya Pandalai Nayar Sterling Strategic Bond is one of the new sectors the IMA created last August when it finally split its rickety Other Bond group. It sounds rather good: investors would surely like to have a...

S&P adjusts its ratings for First State, HSBC funds.
February 2, 2009... Byline: Rob Langston Standard & Poor's Fund Services has assigned new A ratings to the First State Global Listed Infrastructure and the HSBC Gilt and Fixed Interest funds. Randal Goldsmith, analyst at Standard & Poor's Fund Services,...

Biotech sector faces challenges, says firm.
February 2, 2009... Byline: Rob Langston International Biotechnology says events in US could affect future of biotech companies Potential legal reform and years of US regulatory instability could pose a threat for the biotechnology sector in 2009,...

Unigestion launches two private equity funds.
February 2, 2009... Byline: James Kenny Privately owned asset management company Unigestion is launching two new private equity funds of funds for high-net-worth investors. The funds will have different approaches, but both will aim to make the most of...

Close suspends dividends payments for High Income Properties trust.
February 2, 2009... Byline: Rob Langston Close Brothers has suspended dividend payments for its High Income Properties trust for the foreseeable future after flagging property valuations put the fund in breach of bank agreements. In a letter to...

Edinburgh reports GBP50m gross assets decline.
February 2, 2009... Byline: Rob Langston The task ahead for Invesco Perpetual's Neil Woodford at Edinburgh investment trust became apparent last week after performance data for his first quarter since taking over management of the fund revealed gross assets...

Invesco Perpetual plans fund revamp.
February 2, 2009... Byline: Nick Rice Company plans complete change for fund, describing thematic approach as restrictive Invesco Perpetual has proposed changing the remit, name and manager on its GBP52.4m Global Dynamic Theme fund, describing its...

Where's the fire in offshore bonds?
February 2, 2009... Byline: Anna Lawlor There's plenty of smoke, as offshore bonds may be costly and difficult to understand at times, but they also hold plenty of advantages for the cunning investor To its critics, the offshore bond is expensive,...

High hopes for Barack Obama.
February 2, 2009... Byline: Tony Lanning A sense of expectation has greeted the new US president The attention of the world was recently focused on the inauguration of Barack Obama, the first African-American US president and the 44th holder of the...

Morgan Stanley points to lure of high-quality credit.
February 2, 2009... Byline: Nick Rice Investment manager warns government action on important companies could also create uncertainty Credit is at one of its most attractive levels in recent times, but government intervention in private lending has...

NMG study reveals profitable year for fee-based IFA firms.
February 2, 2009... Byline: Gemma Westacott IFA firms suffered a 6.5 per cent fall in income on average last year, but firms working on a fee basis weathered the economic crisis better than their commission-based competitors. According to research...

Investec expands range.
February 2, 2009... Byline: Dominic Welling Investec Asset Management has enhanced its currency fund range to meet investor demand for alternative ways of achieving high rates of return with relatively low volatility. The Luxembourg-based GSF Managed...

Baroda announces two new senior executives.
February 2, 2009... Byline: Jim Robinson Baroda Pioneer Asset Management has appointed two senior executives to its existing team. The appointments include Alok Sahoo, who joins as head of fixed income, and Abhay Nagar, who joins as vice-president and...

Cazenove turns in fine performance.
February 2, 2009... Byline: Nick Rice Cazenove Capital Management has reported falls in assets under management of just 3.5 per cent last year against a decline in the FTSE All-Share index of 30 per cent. The firm finished 2008 with GBP10.9bn in assets...

Be wary of sectors: SVM.
February 2, 2009... Byline: James Kenny More beneficial for fund managers to follow individual stocks, says asset manager Fund managers should concentrate their analysis on individual stocks, not on whole sectors or trying to call the bottom of the...

Balanced funds hit hard.
February 2, 2009... Byline: James Kenny Balanced funds were among the worst performers in 2008, according to BNY Mellon Asset Servicing's latest quarterly Caps survey. The survey showed balanced funds ended the year with a loss of 3.4 per cent in the...

A strategy that continues to pay dividends.
February 2, 2009... Byline: Stephen Wilmot Nick Gartside, head of global fixed income at Schroders, tells Stephen Wilmot why heinvests in US mortgage-backed securities Nick Gartside admits he often hears a "sharp intake of breath" when he tells investors...

Norwich Union acts on redemption jam.
February 2, 2009... Byline: James Kenny Company says it has been affected by timing of asset sales to meet redemptions Norwich Union has suspended redemptions on its GBP2.9bn Unit-Linked Property fund for as many as six months following significantly...

Britain may have reached a turning point.
February 2, 2009... Byline: Philip Coggan Why gilt investors should pay close attention to ratings agencies and the sliding pound Is Britain bust? That is the question many people are asking in the wake of the expensive bail-out of the banking sector, the...

Stellar notes IFA's changing interests.
February 2, 2009... Byline: Jim Robinson Financial advisers are looking increasingly to enterprise investment schemes to help their clients cope with volatile markets, according to Stellar Asset Management. In a recent survey, the specialist asset manager...

Frontier expands multi-asset range.
February 2, 2009... Byline: Jim Robinson Multi-asset and alternative fund manager Frontier Capital Management is planning to launch a UK-authorised version of its Multi-Asset Platform fund. The fund will be a non-Ucits retail scheme and support a "broad...

FSA fines Legacy GBP28,000.
February 2, 2009... Byline: Dominic Welling The FSA has fined Legacy Financial Planning GBP28,000 for failing to explain risk adequately to investors. The Chorley-based firm was also found to have failed to keep suitable records that demonstrated the...

The bright side of green.
February 2, 2009... Byline: Stephen Wilmot In the wake of Barack Obama's presidential victory in the US, analysts expect an economic boost for companies in the energy and environment sectors It is easy to be sceptical of politicians promising 'change',...

SGAM, Credit Agricole link Europe divisions.
February 2, 2009... Byline: Nick Rice Firms are set to join their asset management forces in bid to boost competitiveness Credit Agricole and Societe Generale have agreed to merge their asset management divisions to create the fourth-biggest asset manager...

Hotbed names new head of property.
February 2, 2009... Byline: James Kenny Alternative investment group Hotbed has appointed Julius Gottlieb as head of property. Mr Gottlieb, currently a member of the Bank of England Property Forum, joins the firm from property group Lend Lease. Prior to...

S&P sees hope for growth funds.
February 2, 2009... Byline: James Kenny Some managers believe the end of the bear market is in sight, reports ratings agency UK growth funds are possibly beginning to see the light at the end of the tunnel after months of dismal performance, according to...

Managing the managers - with an eye on back-up and diversification.
February 2, 2009... Byline: Stephen Wilmot JO Hambro Capital Management chief executive Gavin Rochussen talks to Stephen Wilmot about moving into emerging markets and trying different strategies For most asset managers, October and November were the...

How to play the numbers game in corporate bonds.
February 2, 2009... Byline: Marcus Pakenham Careful research is needed to take advantage of high investment-grade yields and opportunities in the lower ratings Investment-grade corporate bond gross redemption yields are at a historically high level of 7.1...

Bailing out the US economy.
February 2, 2009... Byline: Tristan Hanson The recession in the US will be severe and the government will act upon it, but will any massive fiscal stimulus have the desired effect? The scale of president Barack Obama's US fiscal stimulus package begs a...

Henderson confirms GBP115m takeover of New Star.
February 2, 2009... Byline: Rob Langston Henderson Global Investors has revealed details of its GBP115m takeover of New Star Asset Management, just days after talks between the two asset managers were confirmed. The deal will see Henderson take over New...

Quarter of FTSE 100 trading below liquidation price.
February 2, 2009... Byline: James Kenny More than a quarter of FTSE 100 companies are now trading below their liquidation price, which could lead to investors putting pressure on directors to start releasing value, according to DigitalLook. The investor...

Investment view: Japan weathers earnings forecasts.
February 2, 2009... Byline: Nick Rice Japan is weathering its dire earnings forecasts with one of the world's cleanest balance sheets, according to Martin Currie Investment Management. Keith Donaldson, head of the Japan team and co-manager of the GBP92m...

LV= launches high-yielding UK Equity Income fund.
February 2, 2009... Byline: Nick Rice LV= Asset Management has launched a high-yielding UK Equity Income fund, which will use derivatives and other instruments to maximise income as dividends come under stress. The UK-domiciled fund, which LV= has seeded...

Obama to ring changes in biotech sector.
February 2, 2009... Byline: Rob Langston Potential legal reform and years of US regulatory instability could pose a threat for the biotechnology sector in 2009, according to International Biotechnology trust's David Pinniger. Pinniger, investment manager...

Veritas predicts abnormally high inflation levels.
February 2, 2009... Byline: Jim Robinson The failure of governments to strike the right balance between reflation and deflation will lead to abnormally high inflation levels worldwide, according to Veritas Asset Management. Andy Headley, who co-manages...

Outlook for Mena funds optimistic: S&P.
February 2, 2009... Byline: Rob Langston Fund managers are optimistic about the long-term future of Middle East and North Africa (Mena) funds, but short-term worries remain, according to Standard & Poor's Fund Services. In its second annual review of the...

S&P awards First State and HSBC funds A ratings.
February 2, 2009... Byline: Rob Langston Standard & Poor's Fund Services has assigned new A ratings to the First State Global Listed Infrastructure and the HSBC Gilt and Fixed Interest funds. Randal Goldsmith, analyst at Standard & Poor's Fund Services,...

Close suspends dividends on High Income Properties trust.
February 2, 2009... Byline: Rob Langston Close Brothers has announced it will be suspending dividend payments on its High Income Properties trust for the foreseeable future, after falling victim to declining property valuations. In a letter to...

F&C reveals further changes to investment process.
February 2, 2009... Byline: Nick Rice F&C Asset Management's multi-manager team revealed further changes to its investment process in 2008 in response to what it described as "the second worst year in recorded history". Dean Cheeseman, head of...

3i Group's top 50 investments slump by 21%.
February 2, 2009... Byline: Rob Langston Private equity investment trust 3i Group has revealed the value of its top 50 investments has slumped by more than 20 per cent, as the downturn in the sector continues to hit funds hard. In the fund's interim...

Challenge laid out for Woodford on Edinburgh trust.
February 2, 2009... Byline: Rob Langston The task ahead for Invesco Perpetual's Neil Woodford at Edinburgh investment trust became apparent last week after performance data for his first quarter since taking over management of the fund was published. The...

Invesco drops thematic approach on global fund.
February 2, 2009... Byline: Nick Rice Invesco Perpetual has proposed changing the remit, name and manager on its GBP52.4m Global Dynamic Theme fund, describing its thematic investment approach as "restrictive". Invesco has proposed renaming the portfolio...

Hotbed names Gottlieb as head of property.
February 2, 2009... Byline: James Kenny Alternative investment group Hotbed has appointed Julius Gottlieb as head of property. Gottlieb, currently a member of the Bank of England property forum, joins the firm from property group Lend Lease. Prior to...

Investment view: Credit at its most attractive.
February 2, 2009... Byline: Nick Rice Credit is at one of its most attractive levels in recent times, but government intervention in private lending has stirred up further uncertainties, Morgan Stanley Investment Management said. Richard Ford, managing...

Frontier to launch UK version of Multi-Asset Platform funds.
February 2, 2009... Byline: Jim Robinson Multi-asset and alternative fund manager Frontier Capital Management is planning to launch a UK-authorised version of its Multi-Asset Platform funds. The fund will be a non-Ucits retail scheme (Nurs) and support a...

Advisers recommend enterprise investment schemes.
February 2, 2009... Byline: Jim Robinson Financial advisers are looking increasingly to enterprise investment schemes (EIS) to help their clients to cope with volatile markets, according to Stellar Asset Management. In a recent survey, the specialist...

UK growth funds starting to look up: S&P.
February 2, 2009... Byline: James Kenny UK growth funds are possibly beginning to see the light at the end of the tunnel after months of dismal performance, according to Standard & Poor's latest fund services update. The ratings agency found that while...

Credit Agricole and Societe Generale merge asset management arms.
February 2, 2009... Byline: Nick Rice Credit Agricole and Societe Generale have agreed to merge their asset management divisions to create the fourth biggest asset manager in Europe and the ninth largest in the world. The merged entity will comprise...

Cazenove suffers 3.5% fall in AUM.
February 2, 2009... Byline: Nick Rice Cazenove Capital Management has reported falls in assets under management of 3.5 per cent against a decline in the FTSE All-Share of 30 per cent last year. The firm finished the 2008 year with GBP10.9bn in assets...

Does size really matter after all?
February 2, 2009... Byline: Andrew Willmott Advisers have been left confused by the Morgan Stanley/Smith Barney merger It didn't take long for the suggestions to start flying between advisers for a new name for the combined Morgan Stanley and Smith...