M&G fund value improves but performance concerns persist

M&G Investments second annual AoV published

M&G Investments has reported an improvement in its second annual assessment of value (AoV) report, with 92.1% of its AUM by share class deemed to be delivering value, up from 87.8% in the previous year, but concerns remain about the investment performance of the firm’s offering.

The firm handed a "must improve" rating to 7.9% of its AUM by share class, down from 8.3% in 2020, while 0% was deemed "unsatisfactory" overall compared to 3.8% last year. M&G pinned the improvement on measures taken since its 2020 AoV, including a reduction of fees on a large portion of its fund range. Meanwhile, in efforts to overcome "unsatisfactory" performance identified in the firm's 2020 AoV, adjustments were made to the objectives or strategy of M&G's Pan European Select Smaller Companies, Recovery, Episode Growth and Managed Growth funds. In 2020, 3.9% of M&G's fund range ...