Investment Adviser articles from July 2007

Investment Adviser archives from July 2007

Investment trusts now VAT exempt, rules ECJ.
July 2, 2007... Byline: AIC predicts that the judgement will save the investment industry AGBP40m a year Tax The European Court of Justice has ruled in favour of the AIC and JPMorgan Claverhouse Investment Trust, deciding that the management expenses...

Hotbed accuses Sipp providers of failings.
July 2, 2007... Byline: Syndicate warns that providers are refusing to let clients make their own selections sipps Sipp providers have been accused of failing their clients by refusing to allow them to select their own investment choices. Hotbed,...

Raft of ETFs launched to tap into emerging markets.
July 2, 2007... A raft of ETFs allowing investors to tap into commodities and regional and individual country emerging markets are planned for launch next month. In July, Deutsche Bank plans to list three separate country ETFs based on MSCI Brazil TRN...

Tilney says crash fears unfounded.
July 2, 2007... The UK property market will continue to offer potential for solid returns as long as funds are well managed, according to Tilney Private Wealth Management. Robert Court, head of property for Tilney, dismissed suggestions of a market crash...

Efficiency leads to capital flow in India.
July 2, 2007... Commercial pressure on companies to use resources more efficiently will lead to an inflow of capital into rural areas in India, according to Atlantis Investment Management. BP Singh, fund adviser for the Atlantis India Opportunities fund,...

Threadneedle fund takes on the world.
July 2, 2007... Byline: Global Equity Income fund is slanted towards the European, UK and Asian markets launch Threadneedle Investments' new Global Equity Income fund will be slanted towards Europe, the UK and Asia. The fund, managed by Steve...

Melchior continues good performance since launch.
July 2, 2007... Dalton Strategic Partnership's AGBP203m Melchior UK Opportunities fund has continued to perform well since its launch in May 2006, delivering 47.4 per cent in the year to 25 June, compared with the UK All Companies sector average of 21.79 per...

Managers must step up as super-rich get proactive.
July 2, 2007... Byline: Report warns wealth managers to expand range of services to meet the needs of high net worth investors wealth management High net worth investors are becoming increasingly proactive with their investments and require a more...

Jupiter jumps to Jersey as offshore business grows.
July 2, 2007... Jupiter has set up an office in Jersey to deal with its growing offshore business. The office will be managed by Simon O'Donoghue, who was appointed as offshore sales director for Jupiter in September last year to help build the group's...

High rollers swing to Reits.
July 2, 2007... reits High net worth investors switched money out of alternative investments hoping to reap greater returns from property in 2006, a report has found. The latest world wealth report, produced by CapGemini and Merrill Lynch, revealed...

Equities still lure investors.
July 2, 2007... emerging markets Concerns over equity market volatility and historically narrow bond spreads have done little to shake investor enthusiasm for emerging markets, according to Standard & Poor's. According to a survey of 150 global fund...

Martin Currie doubles Oeics.
July 2, 2007... aoeics Martin Currie intends to significantly strengthen its investment platform by doubling the size of its Oeic range by 2009. This is the latest announcement in a series of moves as the company looks to expand to a larger level. ...

Growth driving Latin markets.
July 2, 2007... latin america Domestic demand growth and the scope for consolidation in fragmented industries have been the driving forces behind Latin American equity markets' positive performance, according to Invesco Perpetual. Dean Newman, head...

Lyxor ETF launch to expand offering.
July 2, 2007... Lyxor Asset Management has expanded on its recent ETFs covering the FTSE by launching two new commodities ETFs. The Lyxor ETF Commodities CRB and the Lyxor ETF Commodities CRB Non-Energy are the latest Lyxor ETFs and the first to be linked...

F&C manager rejigs Global Smaller Companies trust.
July 2, 2007... F&C manager Peter Ewins is reducing his F&C AGBP254.3m Global Smaller Companies fund's exposure to the UK and has taken a contrarian view on Japan. The trust reported a return in net asset value per share of 10.4 per cent for the year...

Experts predict bond yields likely to grow.
July 2, 2007... Byline: Economic growth and an expected tightening of policy mean rises are on the cards Bonds Bond yields may rise further yet if economic growth continues to gain momentum and monetary policy is tightened, experts say. Gregory...

Investors favour property to bonds.
July 2, 2007... Retail investors remained keen on property but pulled money out of the UK corporate bond sector in May. There were outflows of AGBP134m from the UK corporate bond sector in May, making it the least popular sector, statistics from the...

Patel joins JPMorgan as Pacific portfolio manager.
July 2, 2007... Pinakin Patel has joined JPMorgan Asset Management as client portfolio manager for its Japanese and Pacific desk. Based in London, he will report to Adam Matthews, managing director and client portfolio manager. Previously Mr Patel worked...

Private bank opens up its Aim portfolio.
July 2, 2007... Byline: Brown Shipley's in-house service to offer high net worth individuals tax benefits Aim Private bank Brown Shipley has opted to open its Aim portfolio service to external investors. The service, which has already been...

Atlantis sees good prospects for Korea.
July 2, 2007... Increased research and development spending, a strong Won and fierce competition will continue to spell good news for South Korean small caps, according to Atlantis Investment Management. KH Song, manager of the Atlantis Korean Smaller...

Robbins to manage Global Dynamic fund.
July 2, 2007... Byline: Investec appointment ensures $154m fund continues to deliver best performance manager change Investec Asset Management has announced Jacob Robbins as manager of its AGBP77m Global Dynamic fund. Mr Robbins comes equipped...

Hong Kong to benefit as China relaxes rules.
July 2, 2007... The Hong Kong market will benefit from forthcoming Chinese regulatory relaxation, according to JPMorgan. From 5 July, China's Securities Regulatory Commission will allow domestic unit trusts and brokers to invest client funds in overseas...

Axa reopens AGBP1.1bn Equity Income fund to investors.
July 2, 2007... Reopening Axa Framlington has reopened its AGBP1.1bn Equity Income fund to investors. The fund, which is managed by George Luckcraft, was soft closed in March 2005 due to excessive inflows. Inflows were stunted by introducing a 5.25...

Standard & Poor's awards Ashburton funds A ratings.
July 2, 2007... Three Ashburton funds have received A ratings from Standard & Poor's. The Jersey-based investment firm's Sterling Asset Management fund, Asia Pacific Equity fund and European Equity fund all received A ratings. Stephen Kearns,...

Axa adds Asia fund to its Talents range.
July 2, 2007... Byline: WF Asia Talents fund will target entrepreneurs who are major shareholders in their firms launch Axa Investment Managers has announced the launch of its WF Asia Talents fund, which aims to invest in Asian entrepreneurs and...

New Star fund joins Skandia platform.
July 2, 2007... New Star is to offer its new International Property fund, which has raised AGBP206m since launch, through Skandia's platform. It also intends to link to FundsNetwork and Zurich's platforms, as well as Standard Life's life and pensions...

Better off in fund of funds, says T Bailey.
July 2, 2007... Byline: Manager claims that previously top-performing funds have now let down investors fund of funds T Bailey Asset Management believes investors in funds that have plummeted towards the bottom of performance charts would have been...

FTSE steps up Reits with its European index launch.
July 2, 2007... FTSE has unveiled its first index solely comprising European Reits, paving the way for potential new launches. The FTSE Epra/ Nareit European Reits index includes 36 companies from across Europe. FTSE said the new index was suitable for the...

Gartmore loses A rating after exodus.
July 2, 2007... Forsyth-OBSR has pulled its A rating of the Gartmore US Opportunities fund following the departure of NWD Investments's Gil Knight and Chris Baggini. Marsico Capital Management is to take over the mandate on 29 June. A spokesman for...

MacQuarie beefs up.
July 2, 2007... Byline: Group plans to branch into the livestock industry with the launch of its Pastoral fund launch MacQuarie Financial Services Group is branching into the livestock industry with the launch of the Pastoral fund. The fund will...

Keeping up with the latest tools.
July 2, 2007... Byline: The Neptune US Opportunities fund continues to trounce the competition When reviewing the North American sector back in October 2005, I was searching for the fund with the greatest exposure to basic industries and resources and...

The gap in expected and actual returns.
July 2, 2007... Portfolios are built on what are believed to be carefully thought out and well researched ideas. However, investment performance often falls short of expectation and investors are disappointed with the actual returns achieved. Is this because...

Future bright for wealth managers.
July 2, 2007... Byline: Unprecedented growth of assets under management expected wealth management Wealth managers and private banks expect unprecedented growth over the next three years, according to the PricewaterhouseCoopers 2007 Global Private...

Market could topple, says F&C.
July 2, 2007... markets The UK market could fall 15 per cent to 20 per cent quite easily, according to F&C fund manager Ted Scott. Mr Scott, who manages the AGBP101m UK Growth and Income fund as well as the ethical Stewardship fund, said that the...

Aifa backs FSA proposals for compensation scheme.
July 2, 2007... compensation Proposals to spread the cost of compensation more widely through the industry have won the backing of the Association of Independent Financial Advisers. Under the current system, the industry is split into 19 groups, each...

Time to train eyes on France: GAM.
July 2, 2007... france The time is now right for investors to capitalise on the changing climate in France, according to GAM. John Bennett, investment director for several funds including GAM Star European Equity and GAM Star Continental European...

Leeds rolls out six-year guaranteed capital account.
July 2, 2007... Leeds Building Society has launched a new six-year product offering a 100 per cent capital guarantee, combined with participation in any growth in the FTSE100. The Guaranteed Capital Account now has an increased headline rate of a...

Supporting aversion to risk.
July 2, 2007... Byline: US bond markets have been driven by risk-averse investors, making a soft economy wobble more Bond markets have been more driven by concerns about liquidity withdrawal, and its effect on other asset markets, than weakening in the...

Market underpinned despite risk aversion.
July 2, 2007... There are a number of factors behind the current levels of volatility being experienced by bond investors. Unprecedented levels of economic development among emerging economies have increased global liquidity, as measured by strong foreign...

Outsourcing is cheaper: Lipper.
July 2, 2007... Byline: Third-party administration more cost effective for large equity funds fees Managers of larger equity funds can benefit from lower fees if they outsource the administration to third parties, a report suggests. For actively...

"Dangerous obsession" with takeover activity unhealthy.
July 2, 2007... M&A by Susan Butterworth Doubt has been cast over whether current levels of interest in takeover activity are healthy. James Smith, chief investment officer of specialist funds for Resolution Asset Management, is concerned markets...

Look to Japanese IT, says Allianz.
July 2, 2007... technology Investing in Japanese IT this summer could be a prosperous move, according to Kazuyuki Terao, portfolio manager of the AGBP18m Allianz RCM Japan fund. Mr Terao said that despite the recent soft patch in the Japanese...

Global manager searches hit 741 in 2006.
July 2, 2007... During 2006, more than 741 manager searches were conducted globally, representing AGBP46.2bn in assets placed, according to Mercer Investment Consulting. Mercer's report highlighted increased activity in Asia, where searches almost doubled...

AIC calls on FSA for advice cost revamp.
July 2, 2007... Byline: Separation of cost of financial products from cost of advice is needed, says the AIC fees The Association of Investment Companies has urged the FSA to regulate and separate the cost of advice from the cost of financial...

FSA paper could lead to two types of adviser.
July 2, 2007... Byline: Retail distribution review sparks debate over what it means to be 'independent' regulation The FSA has delivered the main proposals of its retail distribution review in a move to shake up the financial advice industry. To...

Analysts edgy over Templeton revamp.
July 2, 2007... Analysts have expressed concern that a new structure could prompt stockbrokers to sell their holdings in the Templeton Emerging Markets trust. The AGBP2.1bn trust, managed by Mark Mobius, has narrowed the discount by converting some of its...

Royal London takes the lead with Strategic Growth Trust.
July 2, 2007... In one year, the AGBP27m Royal London Asset Management's Strategic Growth Trust has delivered a return of 34 per cent compared with an UK All Companies average return of 22.2 per cent, according to Financial Express. The Leigh...

Aima backs IOSCO's hedge fund proposals.
July 2, 2007... Byline: IOSC proposes nine principles designed to ensure hedge funds are valued correctly hedge funds The Alternative Investment Management Association is backing the principles put forward by the International Organisation of...

Appointments.
July 2, 2007... - JPMorgan Asset Management has recruited David Halfacre as sales manager of its strategic partnerships. Mr Halfacre, who previously worked with the outbound sales team at JPMorgan, will take responsibility for key accounts including nationals...

Axa Framlington MM overweights equities.
July 2, 2007... Byline: Manager is bullish on global economy, but concerned about UK's place in the world investment process When it comes to asset allocation, the Axa Framlington range of multi-manager funds has been generally overweight equities in...

Axa Framlington Rocks FoF range.
July 2, 2007... The Axa Framlington fund of funds range has had a major facelift since the old Axa UK operation was incorporated into the Axa Framlington business last summer. Caspar Rock, who took the helm of multi-manager last June, has steadily been...

Improving the stock selection process.
July 2, 2007... - Since Caspar Rock took over Axa Framlington's lacklustre multi-manager range last summer, he has gradually been repositioning the investment process to help boost performance. Out of the changes made, probably the biggest is the way in...

Morgan Stanley set to customise indices.
July 2, 2007... Byline: Launch of custom equities indices will help investors identify under-valued stocks launch Morgan Stanley has announced the launch of a series of custom equities indices aimed at helping investors identify stocks with an...

May sees funds top AGBP470bn.
July 2, 2007... research Assets under management for UK domiciled investment funds came to AGBP470bn in May, an increase of 28 per cent on the previous year. According to IMA research, the value of UK domiciled Isa funds also rose by 19 per cent since...

JPMorgan revamps pricing structures.
July 2, 2007... oeics JPMorgan Asset Management has completely revamped the pricing structures for its entire UK Oeic range. From 1 September, JPMAM will fix the administrative expenses on its 'A' shares, irrespective of the asset class, at 18 basis...

'Independent' not just a label.
July 2, 2007... regulation The Association of Independent Financial Advisers has condemned changes proposed for the 'independent' label. At last week's announcement of the Retail Distribution Review, Clive Briault, managing director for retail markets...

Fighting back.
July 2, 2007... Byline: Although investment trusts have had to overcome many hurdles, they are not out of the game yet Investment trusts were the original products that brought mutual investment to the British masses, allowing people without the means to...

Why such disparity?
July 2, 2007... Investment trusts are often seen as the poor relations of Oeics and unit trusts, still reeling from the after effects of the split caps scandal of 2002 and 2003, and viewed with suspicion by many advisers and economists. In this latest...

James Saunders Watson.
July 2, 2007... QWhy is it that IFAs tend to opt for more open-ended vehicles? Why are investment trusts less attractive than unit trusts? James Saunders Watson: Research conducted last year showed that while 30 per cent of IFAs would recommend an investment...

Staying in for the long haul.
July 2, 2007... Byline: Compared to most open-ended funds, investment trusts have a significantly lower manager turnover rate There is a world of a difference in fund manager turnover rates between closed-end and open-ended funds. Even in the (IMA) UK All...

Jim Horsburgh.
July 2, 2007... QYou joined Witan three years ago at the time that it was restructuring to take on a multi-manager format. Can you talk me through that process? Jim Horsburgh: Prior to 2004, the performance of Witan had not been great and the board felt...

Time to rock the platforms.
July 2, 2007... Byline: Today, more and more platforms are deciding to provide access to investment trusts Late last year, the investment trust industry still faced a major barrier in selling to financial advisers - the fact that most platforms did not...

A sector that is full of life.
July 2, 2007... Byline: There is plenty of activity at the moment, with 17 new products so far this year Some critics may say it is a dead sector, but the investment trust arena is just as full of life as the rest of the financial markets. So what does...

ITs winning the beauty pageant.
July 2, 2007... Investment trusts can be a tricky area for retail investors to access. The lack of commission offered on the products makes them less marketable compared with their unit trust and Oeic counterparts, while the use of gearing and their ability to...

Boards of high-calibre.
July 2, 2007... Even though it has been five years since the split caps crisis, investment trusts can still carry the stigma of the absolute failure of the board of directors to protect the interests of shareholders in the trust. Although the crisis affected...

Robert Middleton.
July 2, 2007... Investment Adviser: Who is a typical client for Aon Consulting and what kind of services do you provide? Robert Middleton: The three main areas of our business globally are providing help with retirement, health, and talent for companies...

Aifa opposes advice split for fear of 'McAdvisers'.
July 2, 2007... The Association of IFAs has reacted strongly to FSA proposals that the advice market should be split to help improve customer access to financial products and services. Otto Thoresen, chairman for the Consumer Access Group and chief...

Confusion rules.
July 2, 2007... Byline: The main issue can be boiled down to to two words: labels and money Last week saw the release of the FSA's long-awaited Retail Distribution Review. While it covered numerous subjects, the main issue can be boiled down to two words:...

Germany suffers as fortune moves on.
July 2, 2007... Byline: The locomotive slows down as the German economy calls out for an Iron Lady to revive it Despite the current cyclical upswing in Germany, which is largely fuelled by the strongest boom of the world economy in a third of a century,...

Eye of the storm in the winds of change.
July 2, 2007... Byline: Rising pressure of global bond yields suggests that financial markets are at a watershed There is something elegiac to it, a hearkening back to a less threatening age. In a whistle-stop tour of the markets, Martin Wolf scooted...

Considering an alternative approach.
July 2, 2007... Byline: Using the law of moving averages results in a well constructed portfolio, says Megane Faber What most investors are looking for is a portfolio that beats the returns available from cash, more than holds its own against inflation...

Investors align their stars.
July 2, 2007... MoneySpider.com has released some Astro-rocking news this week: "Look to reality, not the stars, for tracking down the best investment profits." Although Diary is yet to meet a fund manager who has been consulting Mystic Meg for his stock...

Incey-Wincey worries.
July 2, 2007... In order to back up their concerns, MoneySpider .com presented some hard facts for anyone tempted to only invest with like-minded Virgos and aggressive Cancers. Apparently recent study by the British Association for the Advancement of Science...

RLAM spoils birthday surprise.
July 2, 2007... To celebrate the first birthday of the RLAM UK Strategic Growth trust the company sent out a little treat to journos and advisers. However, the treat - a rich chocolate cupcake - was somewhat squashed... literally in the post and...

Diary's forecast not so good.
July 2, 2007... In the spirit of fairness, Diary had a look into its only financial fortunes from the stars. A financial adviser in the US produces a weekly forecast based on geocosmic changes. The long-term Saturn-Neptune opposition is making the outlook...

Skandia hits a new peak.
July 2, 2007... The Skandia team of amateur hikers have beaten 150-strong financial services opposition in this years Caledonian Challenge. The endurance event sees competitors covering 54 miles of highland terrain, from Fort William through Glen Nevis to Loch...

Clients could get off the trail with FSA rule.
July 2, 2007... Consumers could switch off trail commission if proposals from the FSA's Retail Distribution Review are accepted. IFAs and customers must agree on whether the trail is a deferment of the initial fee or payment for ongoing service. ...

Taking a leap of faith.
July 2, 2007... Last month, Investment Adviser broke the news that many advisers are shying away from 130/30 funds. The methodology, spawned from hedge funds, has been a big hit with asset management houses wishing to use shorting to boost their returns. The...

Breaking the ties that bind.
July 2, 2007... Byline: With unconstrained investing the portfolio is more likely to reflect the manager's convictions One of the big decisions to be taken by investors is what degree of risk they want to take with their equity portfolios to achieve the...

Show me what you are made of.
July 2, 2007... Byline: In the deteriorating economic environment companies that can withstand the challenges will be well placed The "goldilocks" environment of steady growth and low inflation, which has been supportive of global equity markets for over...

De-equitisers on the march.
July 2, 2007... Byline: Private equity and activists are now moving into areas that were previously thought to be off limits Fuelled by cheap debt-financing and low equity valuations, de-equitisation - where the net supply of equity is negative - has been...

The thrills and spills of hunting.
July 2, 2007... Byline: M&A activity is soaring but investors must be sure they investigate proposed deals UK mergers and acquisitions activity has soared over the last four years in line with rising markets, thanks to strong corporate balance sheets,...

Go with the flow to motivate investors.
July 2, 2007... Byline: It is hard to predict how clients will act in a sector like All Companies With a sector as large as UK All Companies, it can be difficult to decipher from fund flows just what are the motivations of investors. Are flows into...

Some better alternatives.
July 2, 2007... In last week's column, I pointed to a pair of contrarian ideas - funds I believe are positioned to do well in the event that large caps recover from their long-term malaise. This week, I will review some of the better alternatives among more...