Martin Currie to launch four funds after strategic review

Martin Currie is planning a raft of new launches, fund changes and an increased focus on investment trusts following an 18-month strategic review.

The firm will launch a Latin American fund for the emerging markets team it poached from Swip in May, as well as three absolute return vehicles based on hedge fund strategies previously unavailable to retail investors.

Meanwhile, its UK Growth fund will be merged into the group’s Global fund, while its UK Equity Income product will be converted into a Global Equity Income vehicle. Jeff Saunders, the manager of the UK Growth fund, is to leave the firm.

The group will now focus on its flagship UK growth and income vehicle, Securities Trust of Scotland managed by Ross Watson. Andy Sowerby, managing director of sales and marketing, says: “We believe because of RDR, investment trusts will move to a more level playing field.”

In further changes, Kim Catechis, Alastair Reynolds and the rest of the former Swip team will take control of the Emerging Markets fund in addition to the new Latin American fund.

The Latin America fund will be managed by Jeff Casson, who ran a similar fund at Swip.

The three absolute return funds will also be available from the end of September. Japan Absolute Alpha will be managed by the seven-strong team which runs one of the first hedge funds Martin Currie launched.

European Absolute Alpha will be run by the investment team the group poached from Sofaer Capital in June, while Global Resource Absolute Alpha will be headed by Chris Butler and Duncan Goodwin. It is based on the Martin Currie ARF Global Resources fund, launched in 2003.

All three portfolios will have sterling, dollar and euro share classes with a minimum investment of $10,000, an annual management fee of 1.5% and a performance fee of 20%.

“We have been managing absolute return strategies for a diverse global client base for over 10 years,” Sowerby adds. “We expect demand for Ucits III long/short equity to grow.”