Investment Adviser articles from November 2006

Investment Adviser archives from November 2006

UK growth prospects in jeopardy.
November 13, 2006... INTEREST RATES The financial services industry is worried about UK growth prospects for 2007, following the latest increase in base rates. After the Bank of England rose its lending rate by 0.25 per cent to 5 per cent - the second...

Iimia Growth & Income fund.
November 13, 2006... Trustnet's Global sector is home to some of the most volatile funds in the investment universe, however, the AGBP52.1m Iimia Growth & Income fund has shown itself to be a true "steady Eddy" after posting the lowest beta in the sector. The...

JOH manager warms to the global climate.
November 13, 2006... Byline: Top-down stock selection is vital in the current economic environment, says Beagles UK equities Top-down factors should be influencing all stock-picking decisions, given the current climate, JOHambro has said. Clive...

Fidelity plans to be revealed at forums.
November 13, 2006... Fidelity's FundsNetwork platform will provide details of forthcoming developments at its next series of UK-wide user forums. The forums, which will take place at 18 venues this month and next, are aimed at both advisers and paraplanners....

Vertex subsidiary takes on Gartmore regulatory work.
November 13, 2006... Vertex Financial Services, a provider of business process outsourcing, has extended its contract with Gartmore through a new subsidiary, Jessop Fund Managers. Vertex has provided back-office administration services to Gartmore since 1988....

HSBC's multi-asset FoFs set a precedent.
November 13, 2006... Byline: Open Funds range to be structured as non-Ucits retail schemes, but is as-yet untested fund of funds HSBC Investments is launching a global multi-asset fund of funds range, which will be called HSBC Open Funds. Two funds...

M&G's Recovery fund lives up to its name using FTSE.
November 13, 2006... The FTSE100 is providing plenty of scope for M&G's AGBP1.81bn Recovery fund manager, Tom Dobell. Mr Dobell has around half of his portfolio invested in FTSE100 stocks, which he said has several companies that fit into his stock-picking...

Standard Life fund will be free to roam.
November 13, 2006... Standard Life Investments is to reposition its AGBP20.2 Global Selector fund as a high conviction fund to be called the Global Equity Unconstrained fund. The new fund, which will be managed by head of overseas equities Lance Phillips, will...

Thomson under fire.
November 13, 2006... Byline: Financial data provider denies claims its database has been altered to protect poor analysts analyst recommendations Investment analysts at Thomson Financial may have had their names secretly removed from 20,000 disappointing...

Zurich launches new FTSE-linked account.
November 13, 2006... A deposit account that functions as a structured product has been launched by Zurich. Available through IFAs, the Zurich Guaranteed Capital Account is a bank deposit account that lasts for five and a half years, with its interest linked to...

Multi-manager soars while trackers disappoint in Q3.
November 13, 2006... Multi-manager and ethical funds sold well in the third quarter of 2006, while trackers disappointed, according to the IMA. Figures released last week showed net retail sales of funds of funds totalled AGBP568m, leaving the total value of...

Cost-cutting blamed for CS resignations.
November 13, 2006... Byline: Principal says CS's failure to replace staff member may have caused manager exit manager departure Cost cutting has been blamed for Richard Colwell's decision to leave Credit Suisse. Mr Colwell last week became the second...

MitonOptimal creates jack of all trades fund.
November 13, 2006... Byline: Product aims for 90 per cent of returns from allocation, 10 per cent from fund selection absolute returns MitonOptimal has launched an absolute return fund which uses a multi-asset class approach across all categories allowed...

Currency predicted to remain steady.
November 13, 2006... Volatility in currency markets will remain low going into next year unless central banks are spooked into tightening interest rates, Investec claims. Thano Papasavvas, head of currency management for the group, said currency rates' benign...

IFAs must sink or swim as clients' demands change.
November 13, 2006... IFAs must evolve and adapt to new challenges if they are to remain the key distribution channel in the future, according to Watson Wyatt. The pension fund consultancy made the claim in a report based on interviews with senior level product...

Liontrust's Lang uncovers opportunities in inflation.
November 13, 2006... inflation Investors are incorrectly interpreting inflation as an all-pervading threat, Liontrust manager Jeremy Lang has said. While some sectors were experiencing good inflation - giving more pricing power - others were suffering from...

Midas drops UK property.
November 13, 2006... UK Property Investing into UK property could lead to problems with liquidity as the numbers of buyers starts to drop, Midas Capital has warned. The asset manager has dropped all investment into the asset class over the course of the...

UK SMEs hit the sales drive to outshine European rivals.
November 13, 2006... The small and mid-cap firms in England still have the most positive growth outlook across Europe despite the recent rise in interest rates and fuel prices, according to a study commissioned by GE Commercial Finance. The first annual...

Investec positive on LatAm.
November 13, 2006... Latin America Investec is positive on the prospects for Latin America, despite experts warning of a slowdown in the sector. Philip Saunders, co-manager of the AGBP47.7m Investec Managed Growth fund with Max King, said he was undeterred...

SLI fund offered to retail investors.
November 13, 2006... Byline: Availability of UK Unconstrained is extended after strong year uk all companies After a strong first year, Standard Life Investments is offering its UK Unconstrained fund to retail investors. The product has been the top...

Marketing service puts advisers in publishing driver's seat.
November 13, 2006... Marketing-hub.co.uk has launched a new communication support service for IFAs. The new tool allows advisers to produce a wide range of tailored client communications, for face to face meetings, reports, seminars, websites, emails,...

Engage's single-premium bond comes to the market.
November 13, 2006... bonds Engage Mutual Assurance has launched a new single-premium bond providing a low-volatility investment, coupled with a capital guarantee. The Protected Investment bond will be invested in the engage with-profits sub-fund, which...

Glasglow looks to property.
November 13, 2006... property There will be continued uplift in property, as rents rise in the City and other desirable areas, Glasgow Investment Managers has said. The asset manager has also seen strong returns from companies that were the objects of...

IMA backs blanket reporting structure.
November 13, 2006... regulation The IMA has backed a move to produce standardised financial reports, saying it would improve transparency in the industry. In its response to the International Accounting Standards Board's discussion paper on the conceptual...

Time is over for EM, says IFA.
November 13, 2006... emerging markets A double offering of long-only emerging markets funds has met with a poor reception from Cornwall-based IFA Worldwide Financial Planning. The Resolution International Global Emerging Markets fund and the Resolution...

Brown urged to act as boost to savings.
November 13, 2006... F&C called on the Chancellor to announce a package of new measures in his pre-Budget report to boost Britain's savings culture. Jason Hollands, director of communications for F&C, said: "The government has made a good start with Child...

Commodities drive Lipper index to double-digit high.
November 13, 2006... Equity funds have been climbing for four months in a row, enabling the Lipper Global Equity index to climb into double-digits. Although the returns are still around half what they were this time last year - 10.93 per cent compared to 20.52...

Europe market boasts record risk premium.
November 13, 2006... Byline: Axa says equities remain cheap because their cost has risen alongside their earnings RISK PREMIUM The European risk premium is at a record high, underpinning the attractiveness of equities, particularly European markets. ...

Sipp class goes on offer for advisers.
November 13, 2006... Advisers can develop their understanding of self invested personal pensions at a residential workshop held by pension provider Pointon York. The workshop will run for two days from 21 to 23 November, and is aimed at IFAs wanting to know...

FSA seeks feedback on private equity regulation.
November 13, 2006... The Financial Services Authority has launched a discussion paper on private equity's impact on the UK's markets. The FSA hopes to learn through industry and public policy-maker feedback whether it has correctly ascertained the risks posed...

Do not forget to pick.
November 13, 2006... Byline: Rathbones manager hit by US law change offers timely reminder to active managers stock selection Individual stock-picking is the strategy to adhere to, despite the resurgence of bullish sentiment, Rathbones Unit Trust...

Sell at the full term, buy at the mid-term.
November 13, 2006... Byline: M&G's American fund follows the time honoured tradition and is winning out R epublicans lose control of Congress. US paralysed by indecisive government. With such panicky thoughts stirred up by the media, now seems a good time to...

Likely MPC interest rate rise to hit UK GDP growth.
November 13, 2006... Byline: US slowdown and pressure to curb inflation will slow economic growth, says Oxford Economic Forecasting uk economy Growth in the UK economy looks set to slow to 2.3 per cent next year, according to the latest UK Economic Outlook...

Edinburgh Small Companies trust saved by splitting in half.
November 13, 2006... investment trust The Edinburgh Small Companies trust will be split in half rather than liquidated, following a shareholder decision to give the AGBP107m trust another chance. Following a meeting last week, the board of the trust...

US rates capped by T-bill inflows.
November 13, 2006... US economy Large foreign purchases of government bonds have helped to lower US interest rates, says a report by the National Bureau of Economic Research. The authors, Francis Warnock and Veronica Warnock, conclude that in the absence...

Global investment funds register quarterly downturn.
November 13, 2006... The world's investment funds registered their first overall quarterly fall for two years in June, according to industry figures. Assets slipped by 3.3 per cent to AGBP10.2 trillion in the second quarter of 2006, down from AGBP10.6 trillion...

ABN unveils new UK arm.
November 13, 2006... fund launch ABN Amro has launched a new UK business which it claims will provide easy access to "innovative structured products through a regulated fund vehicle". The business will be managed by Gijs Kaars Sijpesteijn, head of UK and...

Food companies get boost from price fall.
November 13, 2006... Byline: Companies using food commodities to see production costs fall, says Morgan Stanley commodities Falling soft commodities prices should lower food companies' costs and thus boost related investment funds in 2007, according to...

October has mixed signals for market.
November 13, 2006... October was a month of contrasts in terms of yields movements, says Barclays Capital's October 2006 Gilts Market report. While two-year yields backed up by around nine basis points, by contrast 10-year and 30-year yields, having sold off...

S&P reviews fund after double manager departure.
November 13, 2006... Ratings agency Standard & Poor's has put the AGBP24.2m Old Mutual US Select Equity fund under review following the departure of co-managers Ann Hall and Terry Ewing. The previously A-rated fund, which was launched in May 2004, has been put...

Family trust jeopardy.
November 13, 2006... Byline: FPTs and Asps may be scrapped in Gordon Brown's pre-Budget report, claims Pal FAMILY PENSION TRUSTS Family pension trusts, as well as alternatively secured pensions, could be scrapped in the chancellor's pre-Budget report,...

Annuities shunned for flexible options.
November 13, 2006... Investors are looking for more flexible income generators in their retirement than in the past, according to research from Fidelity. A survey of 230 IFAs revealed that 99 per cent of clients in or nearing retirement are seeking other routes...

Pension simplification has been "anything but simple".
November 13, 2006... Transferring existing pension schemes into a Sipp or other plan may see customers losing their tax-free cash, Standard Life has said. This further wrinkle in the A-Day simplifications, which the company said it has isolated, has been...

JPMorgan plans split-cap trust.
November 13, 2006... Byline: Following the forthcoming closure of its Income & Growth fund, manager looks at launch with identical asset allocation trust launch JPMorgan Asset Management is planning to launch a new split level trust early next year. The...

Gartmore set to merge two of its funds.
November 13, 2006... Gartmore plans to merge its AGBP54.9m UK Fixed Interest fund with the AGBP591m Gartmore Corporate Bond fund. The Gartmore Corporate Bond fund is jointly managed by Karl Bergqwist and Simon Surtees, both of whom also manage the UK Fixed...

China and Japan in Alliance offerings.
November 13, 2006... Alliance Trust launched asset management offerings for investors with an appetite for China, Japan but not India this week. Pre-launch offers for the Premier Alliance Trust Asia-Pacific Equity and Japan Equity funds opened to retail and...

Democrat threat to biotech stocks as Clinton bill looms.
November 13, 2006... The US Congress elections may have an impact on US biotechnology stocks. Andy Smith, manager of the AGBP73m International Biotechnology trust, pointed out that a Democratic-led Congress is likely to push a bill tabled by the Clinton...

Investors' timing for equities off, says Close.
November 13, 2006... Byline: IMA figures suggest investors are acting contrary to the buy low, sell high strategy uk equities Investors are buying into equities at the wrong times, Close Fund Management has claimed. IMA figures showing a strong...

Green goes ahead but oil is red light.
November 13, 2006... Long-term investors could benefit from green technology, but if the oil price fell some energy funds could suffer, according to Bestinvest. Mike Fox, fund manager of the AGBP125.7m CIS Sustainable Leaders trust, said the introduction of a...

AGBP12m ordinary share offer to come from Sitka VCT.
November 13, 2006... Sitka, a division of Noble Fund Managers and manager of the Sitka Health fund VCT, has announced the launch of a AGBP12m ordinary share offer. A company statement released last week said the Sitka VCT was the only fund offering access to...

Asian property might be costly investment.
November 13, 2006... Byline: Global Property Guide claims that Asia's residential markets have not yet recovered asian property Asian residential property could prove a costly investment, according to the Global Property Guide, a research publication for...

fund calendar 2006.(Calendar)
November 13, 2006... november Assetz Assetz is to launch several property funds, including the Shared Ownership fund, later this month. Close Finsbury Close is launching a European commercial property fund , called Mosaic, investing in small and...

BGI adds iShares ETF quintet to its arsenal.
November 13, 2006... Byline: The iShares ETFs were launched to fill a gap in demand from the market, says BGI fund launch by Jennifer Aaron Barclays Global Investors has launched a series of five exchange traded funds to invest globally in property,...

Get out of the way FSA, says industry.
November 13, 2006... Private equity firms have warned the Financial Services Authority against becoming "an obstacle" to the fast-growing industry's future success. The regulator released a discussion paper this week on the firms' future in response to growing...

Corporate Sipp workshop to assist pensions advisers.
November 13, 2006... Advisers looking to develop their understanding of the Sipp world are being invited to a residential workshop held by pension provider Pointon York. The workshop, which will run between 21 and 23 November, is aimed at IFAs who want to know...

Future looks bright for European property market.
November 13, 2006... Strong economic growth and increasing investor demand is continuing to drive high returns in the European property market, Arlington Securities has said. Although yields are being driven lower because there are more investors than new...

Further UK rate rises outshine US housing.
November 13, 2006... Byline: Aegon's Milburn says the possibility of a UK rate rise is more worrying than US housing economy by Catherine Neilan Concerns over the US housing market are excessive, Aegon fund manager Philip Milburn has claimed. ...

appointments.
November 13, 2006... F&C Asset Management has appointed Vicki Bakshi as an associate director for its governance and socially responsible investment team. She will lead the shareholder engagement programme on climate change and represent F&C on the working...

Morgan Stanley taps into India experience.
November 13, 2006... Byline: Manager to launch offshore-based India fund slanted towards industrials and financials india equities Morgan Stanley Investment Management is launching an offshore-based India fund that will allow UK investors to tap into its...

AIC data shows crash in Q3 Isa sales.
November 13, 2006... ISAs Sales of investment company Isas between June and September 2006 dropped by 60 per cent, according to the Association of Investment Companies. Although sales were up three per cent year on year, the same period last year,...

Optimal Income for M&G.
November 13, 2006... FUND LAUNCH M&G Investments is to launch a bond fund that makes use of derivatives as well as holding stocks, leveraged loans and collateralised debt obligations. The fund, which will be called the M&G Optimal Income fund, is expected...

The Catch 22.
November 13, 2006... The crisis at Credit Suisse has deepened. The Swiss fund manager is once again in the unenviable position of having lost yet another fund manager, Richard Colwell, less than three weeks after Errol Francis left. Mr Francis's departure was...

Buy biotechs as M&A activity flourishes.
November 13, 2006... Byline: The healthcare and biotech sectors have shown considerable promise thanks to mergers Recent developments in the biotech sector have started to provide evidence that consolidation will pick up in the healthcare and biotech sectors....

Kicking the Brics out the investment wall.
November 13, 2006... Byline: Investors are scrambling to join the Bric bandwagon but perhaps they should be more wary It didn't take long for mutual funds to scramble aboard the bandwagon. Some of the biggest names in fund management have launched dedicated...

Isa's welcome into the fold is overdue.
November 13, 2006... Byline: Confirmation that the savings plan is here to stay shows a government in its right mind A burst of common sense from a UK government. Who would have thought it? The recent announcement by Ed Balls, economic secretary to the...

Diary.
November 13, 2006... Let's call it a business expense Iain Oliver, head of Pensions at Norwich Union, has laughed off coming face to face with the dangers of outsourcing and a lack of trust from his secretary. Upon discovering a company credit card had been...

Funds begin to ramp up US weightings.
November 13, 2006... Byline: As global growth slows, managers' expectations of US outperformance materialise US equities Multi-manager funds are upping their US weightings as the region comes back into favour. Leading the charge is Invesco Perpetual,...

Surfs finally up for Sesame.
November 13, 2006... In an earth-shattering press release this week, Sesame is to launch a web builder service for IFAs who want to go online for the first time. Yes, gone are the days of writing out portfolios on stone tablets and delivering fund forecasts by...

Getting in the swing of things.
November 13, 2006... New Star has been sponsoring the 2006 Ladies European golf tour, which came to its climax last week at the ladies Masters in Dubai. The winner was Galwadys Nocera of France, who gained a ?20,000 prize from the New Star Prize pool. Veronica...

A short history of the US dollar.
November 13, 2006... The audience at the Legal & General Fundamentals meeting was treated to an intellectual treat this month. The speaker, economist Andrew Clare, argued the case for the US dollar having a positive future and then, simply because he could, used...

Big is definitely better.
November 13, 2006... Byline: Investors ought to approach the year-end with caution, but that said, large caps do offer attractive opportunities Seemingly down and out in May, UK equities have not merely regained their composure since then, they have jumped up,...

There is safety in numbers.
November 13, 2006... Byline: Management teams need to surround themselves with experts and helpful associates to stay ahead of the pack While hedge funds have been around since 1949, when the first fund recognised as such was launched, it is really only in...

FTSE's gain is a gain for everyone.
November 13, 2006... Byline: Takeover speculation has driven the FTSE100 index up, with US indices following suit as 2006 ends Early last month, the FTSE100 index hit the 6000 mark for the first time since May, propelled higher on the back of a fresh round of...

False dawn or genuine new era for the AIC?
November 13, 2006... Byline: As the Association of Investment Companies reveals its latest views, many question its relevance Investment trusts are supposedly enjoying the dawn of a new era - this, according to the newly named Association of Investment...

New platform for data delivery.
November 13, 2006... Byline: Personal digital assistants are superseding laptops and mobile phones as the ideal secure choice Business professionals spend more time away from their desks than they did 10 years ago. Shifting from the connected convenience of...

And never the two shall meet?
November 13, 2006... Byline: The convergence of fixed-income and equity research seems to make sense, but how can this be achieved? While reports of the demise of equity and fixed income analysts might be slightly premature and while "dequity" is talked about...

The need for clarity.
November 13, 2006... Byline: A multitude of total and absolute return vehicles is now available, offering varying investment strategies A survey by JPMorgan found that two-thirds of investors would prefer fund performance to be benchmarked against cash, and...

Derivatives a useful tool to reduce risk.
November 13, 2006... Andrew Yeadon, manager of the multi-manager range for Schroders, has highlighted the use of derivatives as a viable means of reducing portfolio risk. Mr Yeadon said he had slightly less than 10 per cent of his funds invested in...

Take care to choose wisely.
November 13, 2006... Byline: Total return as a concept still has a long way to go before being taken seriously in the retail marketplace The past year or two have seen a spate of total return fund launches in the UK. With more launches planned, it looks as if...

Spotting the benefit of total returns.
November 13, 2006... Byline: Total return products respond to a need in the market place, but can be a dangerous beast in the wrong hands Nicolette loizou There are several reasons why the retail market overwhelmingly favours unit trusts over investment...

Feasting on the tiddlers.
November 13, 2006... Byline: In the amendments to the VCT legislation, the government has focused investment on the smallest of companies In the past two tax years, something remarkable has happened in the world of venture capital trusts. VCT funds under...

Making a mockery.
November 13, 2006... Byline: Recent decisions in cases involving the FSA leave many stumped Following the recent decisions by The Financial Services and Markets Tribunal in the case of Paul Davidson - "The Plumber" - and other cases, the provision in section...

A whole new world.
November 13, 2006... Byline: The FSA paper on wraps has inadvertently succeeded in changing the landscape of the platform market in the UK If you want to pick a fight, all you have to do is find a group of platform providers and give them your definition of a...

Ensuring the whole is greater than the sum.
November 13, 2006... Byline: Despite lagging the US and Australia, the UK is waking up to the power of working together We have an obsessive love of property in the UK, so it is not surprising that many investors put money into an ever-growing buy-to-let...