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Fees for active management down 15% since 2017 'putting pressure on passives'


Fees for active management down 15% since 2017 putting pressure on passives
Average annual cost of equity fund now 0.85%, finds FundCalibre
The average annual charge for active equity is down from 1.13% to 0.95%
Actively managed equity fund fees have fallen by more than 15% over the past four years to an average of 0.95%, as the UK fund industry reacted to the “passive threat” by lowering charges, according to FundCalibre.
Its analysis, based on FE fundinfo data on ongoing charges figures (OCFs) in January 2017, 2018, 2019, 2020 and 2021, found that the average annual charge for active equity is down from 1.13% to 0.95%,.
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Repairing a TAR-red reputation: Time to show some love to the targeted absolute return sector


Repairing a TAR-red reputation: Time to show some love to the targeted absolute return sector
Deep Dive into absolute return
Juliet Schooling Latter of FundCalibre
Juliet Schooling Latter
It has been a rocky road for funds in the IA Targeted Absolute Return sector in the past decade or so, as investors have gradually fallen out of love with it.
Pessimists would tell you the reasons for the fall from grace are simple - absolute return funds have not delivered on their promises to investors, with capital not being protected during periods of volatility,.
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Soul searching: Targeted absolute return must look deep into itself for any chance of revival


Investment Week is hosting its Global Emerging Markets Briefing at a pivotal time for investors as they start to position for the recovery from the Covid-19 pandemic, although risks remain.
During this interactive briefing, we will hear from a number of global emerging market managers about their response to the extraordinary events of the past year and their outlook for the rest of the year and beyond.
The managers will identify where they are seeing the biggest opportunities and risks at the moment in emerging markets and explain the role their strategies could play in client portfolios.
Attendees will also get the chance to network with peers, quiz our speakers, as well as benefit from CPD points ....

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The balanced fund diet: Staying active with a mix of strategies could improve your portfolio's health


The balanced fund diet: Staying active with a mix of strategies could improve your portfolio s health
Deep Dive into absolute return
Mike Coop of Morningstar Investment Management Europe
Mike Coop
The basic concept behind absolute return funds is very appealing: decent positive returns, low risk of loss and diversification versus equities and bonds.
More recently, they have been sold as bond substitutes: lower risk than equities, higher returns than bonds, less downside if there is a rise in bond yields. It is not a new idea; many were launched.
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