Fund Times: 6 – 10 October
Dino Fuschillo Leaves Martin Currie; F&C Launch Target Return Fund; GAM to Close Star International Equity Fund; Iceland Suspends Share Trading; Russia’s Trading Suspensions; Pimco's Bill Gross on the Credit Crisis; and Jupiter Appoints Ex Lehman Man
Martin Currie Investment Management announced this week that Dino Fuschillo is to leave his role with immediate effect after over 6 years at the group. Fuschillo was the group's Investment Director and Head of Europe. He also ran the Martin Currie European fund and the group's Pan-European Alpha SICAV. Stewart Higgins will take over all of Fuschillo’s responsibilities with support from fellow directors, Eric Woehrling and Pal Chidambaram. He will be supported by Maritn Currie's team of 16 sector analysts across the two portfolios.
F&C Launch Target Return Fund
F&C this week announced that it has launched a new pooled investment fund which will target returns of 2-4% per annum over short term money market rates (net of all costs) and with low volatility. Whilst that sounds good, investors should bear in mind that actually obtaining that kind of performance may prove more difficult. The fund will be called F&C Active Return and will be co-managed by Stephen Crewe and Chris Childs of F&C Alternative Investments. The Fund will utilise some of the derivative investment strategies currently employed on existing products managed by the team. F&C will provide daily liquidity through a Luxembourg domiciled UCITS III SICAV fund structure, and the fund will be available in both Sterling and Euro share classes.
GAM to Close Star International Equity Fund
GAM announced this week that it is to close its Star International Equity fund after a receiving redemption orders for more than 50% of its net asset value. When the fund officially closes on 13th October investors will be offered the option to transfer their money into any other GAM Star fund with no charge.
Iceland Suspends Share Trading
The Icelandic Government announced on Thursday that the NASDAQ OMX Iceland index will be closed until Monday due to “unusual market conditions”. Iceland has been in the news for most of the week thanks to the collapse of its three largest banks which have left the county on the brink of bankruptcy. The Icelandic Government’s move comes amid concerns that the problems with its banking sector could lead to a stock market collapse.
Russia’s Trading Suspensions
This week Russia’s two main stock exchanges, the dollar denominated RTS and the rouble denominated MICEX index, were frequently suspended due to volatile market conditions. Both indices will automatically suspend if there is a move of more than 5% in the technical stock index compared to its previous closing value. The MICEX closed for the week on Thursday after sharp gains pushed it above its suspension point. The RTS index remained open but suffered sharp losses in early trading on Friday and is currently suspended with the exception of REPO trades and negotiated trades until further notice.
Pimco's Bill Gross on the Credit Crisis
This week Morningstar's Eric Jacobson interviewed Bill Gross, co-CIO of Pimco, one of the world’s largest bond managers, on the credit crisis. Gross's firm has roughly $830bn under management and has won the Morningstar Fixed Income Manager of the Year Award an unprecedented three times in the US. Click here to see his insightful take on the recent bailout and the future of credit markets.
Jupiter Appoints Ex Lehman Man
Jupiter Asset Management this week announced the appointment of Peter Fegelman to the position of Hedge Fund Business Development Director. Fegelman moves into a newly created role which will involve the strategic development and direction of the hedge fund business at Jupiter. In his previous role at as Managing Director at Lehman Brothers Investment Management Division Fegelman structured, negotiated and carried out due diligence on Lehman's equity investments in external hedge fund managers.
