LF Majedie UK Equity fund retains its A rating
On the news that Liontrust Asset Management is to acquire Majedie Asset Management, subject to regulatory approval, Square Mile has decided to leave the A rating awarded to the LF Majedie UK Equity fund unchanged.
The proposed acquisition will see all members of Majedie’s investment and client services teams join Liontrust as the Global Fundamental Team. CEO, Rob Harris will become Liontrust’s Head of Global Institutional Business, and CIO James de Uphaugh will become Head of the Liontrust Global Fundamental Team. There will be no changes to the investment approaches applied by Majedie’s fund management teams who will continue to run their existing fund and investment trust mandates.
Square Mile’s analysts will meet with Majedie over the coming weeks to discuss the transition and future structure of the team, and will provide a further update in due course, as appropriate. (Decision as at 08.12.21)
ASI Global Smaller Companies fund retains its A rating
As of the 1st of December 2021, Harry Nimmo stepped back from his role as co-manager with fellow co-manager Kirsty Desson assuming sole responsibility for the ASI Global Smaller Companies fund. Square Mile’s analysts view this as a natural evolution of Ms Desson’s role as she has, in practice, led the strategy’s management since the departure of the previous manager. As a result of this change, Square Mile has retained the fund’s A rating based on the analysts’ confidence in Ms Desson’s ability to manage the fund in future. (Decision as at 02.12.21)
Ratings removed
Threadneedle UK fund’s A rating removed
Following a detailed review, Square Mile has removed the Threadneedle UK fund’s A rating. Square Mile’s analysts considered this to be a ‘core’ strategy which seeks to remain competitive across a range of market conditions. However, it has experienced a prolonged period of disappointing returns relative to its benchmark, resulting in the analysts’ conviction falling to a level where it cannot justify its place in the Academy of Funds. (Decision as at 21.12.21)
Ashmore Emerging Markets Short Duration fund A rating removed
Square Mile has removed the A rating from the Ashmore Emerging Markets Short Duration fund. The strategy has experienced a challenging period of performance in recent years, which has been driven by disappointing credit selection. The fund’s lacklustre return profile and subsequent decline in assets means that Square Mile’s analysts no longer have sufficient conviction to maintain the fund’s rating. (Decision as at 01.12.21)
