L&G UK Alpha and L&G UK Special Situations lose Elite Rating as manager resigns
Richard Penny, manager of L&G UK Alpha and L&G UK Special Situations, has resigned from the...
At our research team’s annual investment committee review meeting in July 2018, it was decided that the Elite Rating on seven funds should be removed:
This is a highly specialist and volatile fund run by a very experienced team. However, recent performance versus peers has been a bit weaker than we would have hoped and it hasn’t behaved as expected.
The value style of the fund has been out of favour for some time and it has underperformed its peer group leading to a weakening AlphaQuest score.
This fund is in the IA Mixed Investments 40-85% Shares sector but has been run very cautiously in recent years, leading to underperformance.
Recent performance of this fund has been disappointing and the AlphaQuest score has deteriorated.
This fund has had a bias to domestic UK businesses, which has led to it being quite volatile. It no longer passes the AlphaQuest screen.
This fund’s primary objective is a return of cash plus 6%, but this aim has not been met recently and its AlphaQuest score is now too low.
The longer term track record of this fund’s manager remains superb. However, after a strong start, performance has deteriorated due to a number of individual stock issues and the fund no longer has a sufficient AlphaQuest score.