Fidelity

Leading fund groups suggest a focus on risk assets in Managed sectors after IMA review causes furore.

Alex Wright is manager of the £7m Fidelity UK Opportunities fund. The top-performing fund has returned 83.5% to investors over the last three years, ahead of the UK Smaller Companies sector average of 25.4%.

Shareholders in Fidelity's Growth & Income fund have voted in favour of its merger into the MoneyBuilder Growth fund.

Fund houses argue IMA decision to restructure Managed sectors fails investors

The UK economy faces a choppy ride for the rest of 2011 and may be in for a tough few years, though without falling back into recession.

ON ASIA

Fidelity has slammed the Investment Management Association (IMA) for deciding to rename the Managed sectors Managed A,B,C and D.

Fidelity's bond manager Ian Spreadbury has warned the UK has a 20% chance of returning to recession as consumers face mounting pressure from taxes, commodity price rises and high unemployment.

Fidelity is running a pilot global long/short portfolio which may be released to professional investors later in an expansion of the group's FAST fund range.

The UK could fall back into recession at the end of this year, as high oil prices and the impact of the Japan earthquake weigh on global economic growth, said Fidelity's Trevor Greetham.