HANSARD OUTSOURCES TO COLLINS STEWART
Hansard Group has switched the management of four Pathfinder funds of funds ‘ which are specifically designed to be sold via the broker community ‘ from Morgan Stanley Quilter (MSQ) to Collins Stewart Asset Management in Guernsey (CSAM).
The four funds to be managed by CSAM are Pathfinder America, Pathfinder Europe, Pathfinder UK and Pathfinder Global.
The funds, which jointly hold £12.5m in assets under management, are able to hold a mixture of assets, combining core holdings that track the market or benchmark; enhancers, which are expected to exaggerate the return of the index; and stabilisers, which are likely to be non-market-correlated assets that aim to aid performance in falling markets.
Although the funds have enjoyed good performance since their launch in 1999 relative to their benchmarks, one broker has criticised how their recent performance has lagged behind, many moving from top quartile performance to bottom quartile.
Colm Rushe, business development manager at Hansard, said this is due to market conditions and MSQ’s wider exposure to stabilisers at a time when markets were gaining.
‘We will be taking on slightly different parameters to Morgan,’ says Andy Finch, business development director at Collins Stewart. ‘We have one restriction in that no more than 20% of a fund is exposed to non-daily dealing funds,’ he said. MSQ historically held between 30-40% of the fund in stabilisers
‘This restriction is not a big issue for us,’ added Finch. ‘We tend to focus more on core and enhancers anyway.’
Three CSAM funds obtained AA rating from Standard & Poor’s Fund Research for performance track record, methodology and investment process.
Hansard has also moved the management of its European managed funds, to Milan-based Pioneer investments. These funds were also previously managed by MSQ. Pioneer’s allocation will be to spread Hansard’s assets across three Pioneer European funds, said Matteo Perruccio, ceo of Pioneer Investment Management SGR in Milan.
This article first appeared in International Investment. © Incisive Media 2003
For further information please contact David Findlay, Product Support Manager (+44 1624 688227 or firstname.lastname@example.org) or Paul Harwood, Managing Director, Hansard Administration Services Limited (+44 1624 688047 or email@example.com