Fund mergers and closures hit record high as consolidation gathers pace

Fund closures and mergers in the UK have soared to a record high in the past six months as groups cull smaller or underperforming funds amid pressure on margins.

Fresh analysis from Lipper, supplied for Investment Week, shows there were 56 fund closures and mergers in the fourth quarter of last year and 52 in the first quarter of 2013, representing an all-time high over six months.   In recent months a number of fund houses have streamlined fund ranges to focus on ‘core’ areas of expertise. Fund range reviews Last week Alliance Trust Investments announced it will close its North American and European equity funds next month, having also closed its UK Equity Income, Asia-Pacific Equity and Japan Equity funds last summer. Other groups inclu...