Investment Adviser articles from January 2006

Investment Adviser archives from January 2006

Davis trains dog to become top performer.
January 9, 2006... Former dog fund HSBC American Growth has been creeping up the league table since New York-based Davis Funds took the helm last April. The revamped portfolio is modelled on Davis's New York Venture fund, but stripped of that fund's non-US...

F&C set for rise and fall.
January 9, 2006... Phil Doel, manager of F&C's new UK Opportunities focus fund, says the vehicle is not just set to perform in a bull market. Mr Doel, who joined from DWS in November where he ran a mirror fund, said some investors had the perception that...

Isas and Peps gain from property inclusion.
January 9, 2006... Following regulatory changes introduced on 27 December, property funds are now eligible for inclusion in Isa, Peps and child trust funds. The changes allow non-Ucits retail schemes to be included within these wrappers. In consequence,...

Pratt splits Newton and divides advisers.
January 9, 2006... Advisers are at odds over the future of Newton's AGBP1.1bn Income and AGBP71m Growth funds following the departure of their lead manager. Glenn Pratt left Newton in December and this month joined global investment management company Dalton...

Russian gas spat highlights need for renewable agenda.
January 9, 2006... Crisis seemed to have been averted last week in the showdown between Ukraine and Russia over gas exports through the Gazprom pipeline. But for socially responsible investment analysts, the lesson is that renewable energy warrants a closer...

Pensions Act boost to bonds.
January 9, 2006... The 2004 Pensions Act will provide a significant boost to the UK bond market, claims Old Mutual's star bond manager. According to Stephen Snowden, manager of its AGBP470m Corporate Bond fund, regulation will encourage investment in bonds at...

Argonaut fund steers new course.
January 9, 2006... Valuations in European defensive stocks are unattractive to Barry Norris, lead manager of the AGBP120m Britannic Argonaut European Alpha fund. Launched seven months ago when Mr Norris joined the specialist fund from Neptune, the fund has...

Taiwan emerges as a swan of the east.
January 9, 2006... Taiwan has been identified as shrugging off its reputation as the ugly duckling of the emerging markets universe. Samir Patel, manager of Charlemagne's AGBP19.4m Magna Greater China fund, has been picking up shares in Taiwanese companies,...

Look to alternative energy for good value, says Tilney.
January 9, 2006... Nuclear energy will be a boom market over the next few years, as the full impact of the Kyoto treaty reaches down to company level, Tilney claims. The Liverpool-based asset management boutique said the alternative energy theme was going to...

Rensburg Mid Cap manager replaced by past employee.
January 9, 2006... Rensburg has lost rising manager of its AGBP30.5m UK Mid Cap Growth fund, Leigh Himsworth. The fund had a strong year in 2005 and has pushed itself into a commanding position, ranked seventh out of 262 funds in the IMA UK All Companies...

Aim ripe for rebound following year of hurt.
January 9, 2006... Exposure to the Alternative Investment Market, which hurt fund managers in 2005, is ripe to deliver benefits, believes New Star's Patrick Evershed. Mr Evershed, manager of the AGBP177.6m Select Opportunities fund, attributed the...

Global Titans aims for CGT benefits.
January 9, 2006... Nvesta's new Global Titans Income Enhancer began trading at the beginning of January. It offers investors exposure to the performance of the world's 50 largest companies. Returns can be offset against capital gains tax allowances, meaning...

M&G follows guiding light for fund growth.
January 9, 2006... Massive asset value growth is a vital compensation for investors in the risk-infested waters of UK Smaller Companies, says M&G's small-cap manager. Simon Bailey, manager of the AGBP187.5m Smaller Companies fund, said companies with the...

JS&P catapulted up league by Towry buy.
January 9, 2006... John Scott & Partners' acquisition of Towry Law will place the combined firm just outside the IFA top 10 for investment turnover. With relevant IFA turnover of AGBP11.5m, JS&P ranks 31 in the industry. Towry Law, with relevant turnover of...

Managers prepare to place Nurs in wrapper.
January 9, 2006... Funds houses are rushing their non-Ucits retail scheme multi-manager offerings to market within Isas, with mid-January the most common start date. The companies are taking advantage of new flexibility introduced following the pre-Budget...

Correction needed for Japan stability.(Correction Notice)
January 9, 2006... The Japanese stock market is in danger of overheating, according to Credit Suisse. Rob Burdett, joint head of multi-manager, said the Topix index of Japanese stocks needs a correction of 10 per cent or 15 per cent to keep the country's...

global multi-manager.
January 9, 2006... BUY/INCREASE JPM Japan/Morgan Stanley Asian Property Head of multi-manager Patrick Armstrong (pictured) has bought the AGBP303.7m JPM Japan fund managed by David Mitchinson and the AGBP209.7m Morgan Stanley Asian Property fund, part of...

Woolwich targets structured arena.
January 9, 2006... Woolwich Plan Managers has launched a concerted attack on the structured product market under the banner of parent company Barclays. The re-branding coincides with the launch of four new structured products linked to the FTSE, though three...

Britannic to boost returns through targeting volatility.
January 9, 2006... High net worth investors should consider a multi-manager approach that combines top-down asset allocation with a targeted risk multi-manager solution. David Coombs, director of multi-manager investments for Britannic Asset Management, has...

performance.
January 9, 2006... McHattie Warrants Alert The AGBP2.4m McHattie Warrants Alert fund stands out in Trustnet's Global Multi-manager sector in many more ways than one. Despite equalling the most negative months over the past three years and the highest...

Looking back at the best performers.
January 9, 2006... As this is the first issue of Investment Adviser for 2006, I thought I would look back at the year rather than focus on just one fund. It has, of course, been another cracking year in stock markets. Is it not a shame that so many private...

Barbell effect pumps up Gartmore Bond.
January 9, 2006... Shorter dated, scarier credit has attracted the managers of Gartmore's AGBP691.2m Corporate Bond fund. Karl Bergqwist and Simon Surtees, who recently took over the fund from former manager Alix Stewart, said they have been picking up...

Veritas looks to east for income opportunities.
January 9, 2006... The managers of Veritas's AGBP11m Global Income fund are keeping Asian currency exposure, believing sterling is overvalued. Andrew Headley, manager of the fund, said the portfolio had been moving increasingly into Asian holdings as...

Good year for ETF market.
January 9, 2006... The market for exchange traded funds has burgeoned over the past five years in Europe, according to a survey from Morgan Stanley. Data from the investment strategist revealed that the number of ETFs in Europe rose from just six in 2000 to...

Aberdeen takes a bearish UK stance.
January 9, 2006... Aberdeen has turned bearish on the UK as the market continues to lag other global equity markets. Bruce Love, manager of the AGBP579.2m Murray International trust, has reduced exposure to the UK where the portfolio's assets are...

Fidelity European Values stays on Close Wins list.
January 9, 2006... The AGBP767.8m Fidelity European Values trust has maintained its premium rating from broker Close Wins with markets steadily rising on the Continent. Close said the fund remained on its recommended list within the European sector thanks to...

Turner Report will not benefit clients.
January 9, 2006... Advisers believe the Turner Report is set to be a boon for the pensions industry, but not its customers, according to Fidelity. The asset manager surveyed a group of 262 financial advisers, 63 per cent of who said the report would increase...

ABI rolls out good practice on annuity purchase guide.
January 9, 2006... The Association of British Insurers has issued a statement of good practice on annuity purchase. The ABI said the new statement establishes standards for providing consumer information and sets out procedures for the process of...

JPMorgan dials into China's mobile signal.
January 9, 2006... JPMorgan is hoping China's youth will keep up its craze of downloading on its mobile phones to power returns in its trust. Ernest Liu, manager of the AGBP55m JPMorgan Chinese investment trust, said fund managers in China have to be young at...

JPM first foots limited fund.
January 9, 2006... JP Morgan's move to cap its UK Dynamic Oeic is the start of a fund capping frenzy, Schroder and F&C have claimed. Last week, JPM Asset Management said it would become the first fund management group to take advantage of FSA rules that allow...

M'boro in core fund hire.
January 9, 2006... Greg Bennet will be joining Marlborough Fund Managers at the end of January to set up a UK equity fund. Keith Ounsworth, Marlborough's chief executive, said Mr Bennet would be running a UK core product from Marlborough's newly-established...

Fidelity to get spicy in multi-manager arena.
January 9, 2006... Fidelity is looking to launch aggressive multi-manager and property funds next week. The company will launch its Multi-Manager Special Situations and Equity Income Portfolios on 16 January. A Global Property will also be launched on this...

US faces down fears of possible recession.
January 9, 2006... The appearance of an inverted yield curve in the US has fired speculation that the world's economic powerhouse is on the road to recession. Five out of the last six US recessions have been preceded by an inversion in the yield curve. Many...

Japan bull market still has way to go.
January 9, 2006... The Japanese market is set for another bullish run this year, fund managers have claimed. The Tokyo market had a strong year in 2005, with the Topix index climbing 21.7 per cent by the start of November. Hideo Shiozumi, manager of Legg...

Questions still arise over protected rights.
January 9, 2006... The Department of Work and Pensions' response to a consultation on protected rights has left Sipp providers with even more questions. Over the Christmas break the DWP announced it would move away from a blanket ban on Sipps holding...

Transact plans onshore bond wrapper.
January 9, 2006... Transact is planning to launch an onshore insurance bond wrapper in advance of A-Day in the wake of positive feedback from IFAs. Malcolm Murray, the fund platform's head of sales and marketing, said the bond could follow one of two tax...

If I had one choice of which sector to be very strong in in the UK markets then I would want to be strong in UK equity income.
January 9, 2006... Investment Adviser: How would you best describe CSAM's investment philosophy? Ian Chimes: We have a team of experienced in-house research analysts, and therefore have proprietary research, which generates our overweight, underweight and neutral...

Opt for gilts over corporate bonds in 2006.
January 9, 2006... In 2006, bond investors should react positively to central banks calling an end to their policy of raising rates. This should mean that broad ranges of 4 per cent to 5 per cent yields appear likely to hold in the US and UK government bond...

Minford of the dead?
January 9, 2006... It is never a nice surprise waking up next to a member of the undead. Pity, then, investment management company Rensburg Sheppards, whose professor-in-residence Patrick Minford apparently has been sleeping with a "bureaucratic stagnating...

A little bit of jazz goes a long way.
January 9, 2006... Alan Ainsworth, deputy chairman at Threadneedle, can often be found around midnight at Ronnie Scott's or the 606 Club. He was delighted therefore to get hold of a ticket for a celebration of the great American pianist Dave Brubeck's 50 years in...

Equity funds whet risk appetite.
January 9, 2006... Retail investor risk appetite is on the increase, latest sales figures from the Investment Management Association has revealed. Equity funds sales showed a sharp month-on-month rise from sales of AGBP137m in October to AGBP478m in November...

Score one for the Irish Footballers.
January 9, 2006... Diary -- for once -- would like to offer an apology. We recently wondered whether it was overtime for the IFA, on the back of a headline "IFA ready to agree to Sanchez talks." This was in fact about the manager of the Northern Irish football...

Whiskey galore for the New Year.
January 9, 2006... And finally...the winner of this year's free booze from the FT competition is Stephen Hibbin of Stephen Hibbin FCCA who guessed that the FTSE All-Share would be 2832.66 on the last day of trading in 2005. The actual strike value of the All...

The year of living dangerously?
January 9, 2006... Last year was a year of "you pays your money and you takes your chance," as it was a good year for those investors who were prepared to take a risk on their portfolios. While still dominated by Jupiter's Edward Bonham Carter's "hippo markets"...

Low capital costs put UK plc on the bargain rack.
January 9, 2006... For the past two and a half years the UK has enjoyed a sustained recovery in earnings, which has been reflected in the steady upward trajectory of share prices over this period. It is a far cry from the dark days of March 2003 when the FTSE100...

Bric built market dominance.
January 9, 2006... With more and more expert research making the case for investing in various emerging markets, financial advisers may well be asking whether they are leading clients into the next stock market disaster and the prospect of renewed criticism for...

Change for change's sake.
January 9, 2006... This year will no doubt be a year of further regulatory changes and new initiatives from the Financial Services Authority. After all, we have to remember that if the FSA does not keep constantly changing things, it will be out of a job. I think...

Dark Lord returns.
January 9, 2006... Bond markets in 2005 have been rather Shakespearian -- much ado about nothing. While we all fretted over rising US rates, skyrocketing oil prices, inflation, China, terrorism and a host of other things the bond markets showed little net change,...

Juggernaut lags behind but is solid.
January 9, 2006... While the US economic juggernaut once again led the global economy last year, US equities were rather neglected. This was largely by default -- equity investors found the confidence to explore new territories in emerging markets and re-examine...

Europe makes a comeback.
January 9, 2006... Last month's ECB rate hike of 0.25 percentage points to 2.25 per cent, the first one in 61 months, was fully anticipated. Yet, as the next meeting of the Governing Council of the ECB approaches, markets remain uncertain about the pace and...

sector comment.
January 9, 2006... We begin the New Year with the Europe excluding UK sector, which we will analyse over three weeks. The size of the sector in terms of both the number of funds and money under management deserves that coverage. This week's style analysis, on...

Tech mania fuels SGAM performance.
January 9, 2006... Consumer spending may be flat, but flat screen TVs have been winners in the retail technology space, claimed SGAM. Hugh Grieves, co-manager of the AGBP69.8m Societe Generale Technology fund, said that the craze for the latest MP3 players,...

Committed to Euro small-cap.
January 9, 2006... Artemis deserves accolades for the 106 per cent profit for investors in its European Growth fund over the past three years. However before we all rush out to buy it, may I point out that there are others that have done even better, but are not...

Case for volatility.
January 9, 2006... Volatility could throw up some interesting challenges this year. Not in the rollercoaster ride sense of there being far too much of it, leaving your clients shaken and you with your nerves shot, but in there simply not being enough of it. ...

Are we really living in a brave new world?
January 9, 2006... Energy seems set to be the story of 2006, just as it was last year -- the calendar is no respecter of novelty. Russia's seemingly unilateral decision to cut off gas supplies to Ukraine is the first investment story of the New Year. ...

Skill conspicuous by its absence from stellar European returns.
January 9, 2006... In the final decades of the nineteenth century, Tsar Nicholas I of Russia dismissed the proud Ottoman Empire -- existing since 1299 -- as "the sick man of Europe" because it was increasingly falling under the financial control of the European...

Sticking to the larger side of the stockpicking game.
January 9, 2006... Funds investing in large capitalisation companies have seen their assets tumble and performance falter badly over the past five years, while small and mid cap funds have outperformed. Similarly, value styles outpaced growth, a trend that has...

Baillie backs financials to repeat profit performance.
January 9, 2006... Baillie Gifford is banking on financials in an attempt to repeat solid returns posted in 2005. The AGBP382m Baillie Gifford Smaller Companies fund has a strong bias to the sector, with 25.4 per cent invested in financials. This is the...

Close goes fishing for Chip money.
January 9, 2006... Close Brothers Investment has unveiled a D share issue on its Close High Income Properties (Chip) fund. Close will seek to raise AGBP40m on the issue and will invest in a diversified portfolio of office properties across the UK, currently...

Time for a veritable financial tidy up.
January 9, 2006... Maybe it is already too late for New Year financial resolutions, but over my Christmas break I thought of several. Sometimes, the easiest and most obvious financial changes are the ones we miss. For a start, paying off debts. Everyone knows...

GSAM opens up funds.
January 9, 2006... Goldman Sachs Asset Management is looking to take the fund market by storm through opening up 35 previously institutional funds. GSAM will launch 14 funds within its Luxembourg range in the first quarter of the year, with another 21 to come...

FTFR gives risk new look.
January 9, 2006... FT Funds Ratings has given its risk profiles a New Year overhaul. The four categories UK Income, UK Small Cap and UK Value have merged into just two: UK and UK Diverse. Three Asia categories collapsed into one, four US categories into two....

Four Leggs bad, two Leggs good in Euro fund mergers.
January 23, 2006... Legg Mason is planning the merger of its UK and European fund ranges. Legg Mason's AGBP31m UK Opportunities and AGBP54.8m UK Equity funds will merge. Meanwhile, the AGBP7.5m specialist European TMT fund is to merge with the AGBP13.6m...

BNP plans assault on UK with Parvest fund range.
January 23, 2006... The UK asset management arm of French banking giant BNP Paribas is pursuing a three-stage strategy to capture the UK market. According to Rodolphe de Cande, head of UK mutual fund business development for BNP Paribas Asset Management, the...

Currie soft close protects existing funds.
January 23, 2006... Martin Currie has attracted AGBP100m at launch for its focused Japan Alpha fund. The Scottish asset manager said it was preparing to soft close the fund at AGBP125m in order to protect returns for existing investors. The fund, which is...

The world, or Europe, according to SmartGarp.
January 23, 2006... The AGBP1.03bn Artemis European Growth fund has consistently outperformed the Europe ex UK sector over the past three years, 12 months and 6 months to 5 December 2005 (fund size as at 30 November 2005, offer basis, according to Artemis). ...

Tokyo yo-yo provides buy opportunities in fallers.
January 23, 2006... A dizzy few days in Tokyo as markets tumbled and bounced presented investment opportunities rather than concerns for some managers. Last week, the Nikkei managed to claw back most of the 600 points it fell in one day, as investors panicked...

Old Mutual in home straight for Skandia.
January 23, 2006... Old Mutual has received the green light from the FSA for its AGBP3.6bn acquisition of Swedish rival insurer Skandia. The company said it was excellent news that the UK regulator had approved the deal. It is still awaiting the same signal...

Gartmore US merger mirrors Europe move.
January 23, 2006... Gartmore is to merge two European and two US funds in its Sicav as part of continued consolidation of the offshore range. The AGBP7.27m US Sicav, managed by Gary Haubold, and the AGBP60.58m US Opportunities Sicav, run by Gil Knight and...

Templeton manager on leave.
January 23, 2006... Ken Cox, the manager of Franklin Templeton's AGBP30.6m Europe, AGBP11.5m UK and AGBP144.7m Growth Oeics, is on medical leave at least until the end of March. Mr Cox, who also runs four Sicavs, is a senior vice-president at Templeton. He...

First State seeks gold shield from effects of slowdown.
January 23, 2006... First State is looking to shelter from an expected short-term slowdown in Asia by investing in gold and consumer stocks. The First State Asia team has been increasing its weighting to gold in both its all market-cap AGBP785.4m Asia Pacific...

Isa providers table tempting new offers.
January 23, 2006... Providers are ramping up marketing spend and offering a series of discounts to attract Isa investors. New Star, Merrill Lynch and Legal & General are embarking on strategic Isa season advertising, with New Star and MLIM promoting selected...

Sit Isa puts cap on pricing structure.
January 23, 2006... The AGBP1.08bn Scottish Investment Trust is offering investors a capped Isa pricing structure. The annual management charge of 0.6 per cent is to be capped at AGBP30 plus VAT. This will be irrespective of how much the investment grows, or...

New website and reduced fees for Skandia IFA clients.
January 23, 2006... Skandia's fund platform is launching a dedicated Isa website for IFAs. For the next few months it is cutting its fee for new transfers to the fund platform from 4.5 to 3.5 per cent. Its updated website now enables online top-up...

SVM tips resource stocks at roadshow.
January 23, 2006... SVM's UK equity team is set to explore the benefits of selecting resources stocks for portfolios at its Unique Boutiques roadshow. The company, one of five presenting at the roadshow which kicks off next week, is laying its UK equity...

Boutiques more attractive in 2006.
January 23, 2006... The five fund management companies behind the Unique Boutiques conference series believe IFAs are set to allocate more to boutique investment managers in 2006. The five houses -- Liontrust, JO Hambro Capital Management, SVM, Neptune and...

Britannic launches new funds for UK.
January 23, 2006... Britannic Asset Management has launched eight funds to target fund of funds and discretionary asset managers, including three hitherto unavailable to UK investors. The Britannic International Oeic includes Britannic Emerging Markets...

Man debuts open-ended hedge fund platform.
January 23, 2006... Hedge fund specialist Man Group is building on its FTSE100 status to develop a global hedge fund platform. John Morrison, chief executive officer for Man Investments, said the company was committed to developing its distribution partners...

Invesco goes electric.
January 23, 2006... Neil Woodford, manager of the AGBP2.6bn Invesco Perpetual Income fund, is turning on the electricity as the sector begins to offer strong dividend growth. The manager of the top-decile fund said returns over the last two and a half years...

7IM looks to fund of hedge fund strategies.
January 23, 2006... Seven Investment Management has introduced hedge strategies to its fund of funds range for the first time. Three of the company's portfolio's now have exposure to Guernsey-listed closed-end fund of hedge funds Dexion Absolute, and 7IM said...

Williams de Broe revamps portfolio.
January 23, 2006... The multi-manager team at Williams de Broe has made significant changes to its asset allocation strategy for 2006. The team, whose four Dublin-listed portfolios hit the AGBP100m mark in assets under management in December, left just four...

Credit Suisse extends its discount offer until April.
January 23, 2006... Credit Suisse has extended its offer of 4 per cent initial commission on the company's multi-manager range until 6 April. The discount offer, which can be taken as a combination of discount and commission or pure commission, applies to...

Buy & Sell.
January 23, 2006... BUY/INCREASE Aberdeen Asia Income/ JPM Japan Manager Patrick Armstrong said he has bought a 3.8 per cent stake in the new Aberdeen Asia Income fund and increased allocation to the AGBP358m JPM Japan fund managed by David Mitchinson....

Performance.
January 23, 2006... Insight Wealthbuilder Balanced fund The AGBP63.7m Insight Wealthbuilder Balanced fund is looking to "catch alpha" through both quantitative and qualitative research. The fund, managed by Patrick Armstrong and Ana Munro, is ranked...