letter

Richard Saunders Chief executive Investment Management Association Editor, Your leader "Fund com...

Richard Saunders Chief executive Investment Management Association Editor, Your leader "Fund comparisons in danger of becoming meaningless" raises an issue that is very much on the IMA's radar. IMA sectors rely on minimum holdings of an asset class in order to classify funds into sectors. The assumption is that this ensures for example, that investors holding funds in a UK equity sector get UK equity market exposure in their portfolios. This type of sector classification based on asset allocation has, in the past, been a good proxy for economic exposure, but that link may be in dang...