Value Partners has poached the chief executive of Prudential’s Asian investment arm, Eastspring Investments. Standard Life Investment has named a head of investments, with Nordea Asset Management replacing its outgoing chief executive.
As the market reacts to the UK’s shock decision to leave the EU, active managers are underperforming their passive peers when it comes to UK equities.
Morningstar has expanded its qualitative analyst rating system to include 300 exchange traded funds, 100 of which are domiciled in Europe.
The average net expense ratios of European-domiciled funds have come down across the board since 2013, according to a study by Morningstar.
One year after the surprise yuan devaluation and subsequent market crash, $4.5bn has flowed out of funds focused on China equities, according to data from Morningstar.
In the first half of 2016, investors in Europe have poured in $5.7bn (€5.1bn) into smart beta funds as market capitalisation index trackers saw outflows over the period, according to Morningstar data analysed by ETF provider WisdomTree Europe. Brexit could be one of the reasons for the switch.
With global growth slowing and developed-market government bonds at a record low, fixed income managers are focusing on opportunities in spread sectors.
The past 12 months haven’t been a great time for equity investors. Only US equities delivered a positive return during the period, albeit a modest one. A year ago, few European investors were betting on this asset class to do well though.
This year has marked a turnaround in the fortunes of emerging markets, driven by an increase in global risk appetite, a hike in commodity prices and an easing of concerns over the slowdown in the Chinese economy.
Retail investors in China may be allowed to invest in mutual fund-of-funds later this year after the release of a consultation paper from the China Securities Regulatory Commission (CSRC).
The cheaper a fund is, the better the chance it outperforms its peer group, a study by Morningstar has shown.
Morningstar selects its top 10 newcomers in the Europe ex UK equity sector, according to senior analyst Muna Abu-Habsa. Many of the newcomers are small in size, with four funds with less than $40m. Investors should also be aware that a one-year time frame is a short period to assess fund performance.
