Ashburton Investments, the asset management arm of the FirstRand group and IIFL Asset Management (IIFL AMC), has announced plans to merge its $120m India Equity Opportunities fund with the IIFL India Equity Opportunities fund, subject to all regulatory and board approvals.
Investors can continue to access the fund as normal and no action is required from existing investors, the group said.
The new combined fund will continue to be managed by Ashburton's CIO (International) Jonathan Schiessl, who has run Asburton India Equity Opps since its launch in 2012.
He will join IIFL AMC as CIO and lead fund manager of the merged fund, with Swati Jain joining as head of institutional sales to continue distribution of the strategy to international investors.
Schiessl said: "We are very excited about this development and I expect the fund to go from strength to strength following this agreement.
<p">"This is a highly positive collaboration, not just for Ashburton and IIFL AMC, but more so for global clients who will benefit from the infrastructure and depth of India research that the IIFL group brings on board."
Amit Shah, CEO, IIFL Asset Management Business, added: "Global investors continue to increasingly look at India. Our AMC is indeed uniquely Indian and undeniably global and we continue to bring on board the best minds in the investing community from not just in India but different parts of the world.
"With Jonathan's successful track record especially in his India approach, we are sure he will add significant value for investors."
Over three years to 5 December, the Ashburton India Equity Opportunities fund has returned 43%, outperforming its MSCI India benchmark return of 33% during the period, according to FE Analytics.
Helped by pension freedoms
Completed merger in August
'Very volatile commodity'
£25bn single strategy business
Strategic partnership with Ventre and Zagame