IMA sector chair calls for three Absolute Return sectors

The IMA's review of the Absolute Return sector may end up dividing it into three sub-sectors, according to Gordon Davidson, chair of the IMA Sector Committee.

The sector review was originally intended to conclude by the end of 2011, but was subsequently delayed until June this year. It is now thought the outcomes will not be announced until the second half of 2012.   Davidson said it would be “logical” to create three or four sub-sectors rather than splitting Absolute Return funds into ten or twenty groupings.   “My views do not represent everyone’s, but one possibility would be to cut the sector into three groups – those funds with an equity bias, those with a fixed income bias and then an unconstrained grouping,” he said.   Davidson ac...