Advisers question Ashby's future over LV= outsource deal
Advisers have raised questions over the future of LV= head of UK equities Graham Ashby’s £162m UK equity income fund if a deal to outsource its retail fund range to Threadneedle is agreed.
LV= and Threadneedle confirmed last week that talks about an outsourcing deal are taking place over the next few weeks, with the aim of reaching a final decision in August.
LV= group CEO Mike Rogers says: “The board is considering outsourcing asset management to enable it to focus on its core trading lines within general insurance, protection and ret-irement solutions.”
Bestinvest senior analyst Ben Seager-Scott says a deal would raise questions over the future of Ashby’s fund as Threadneedle already has a £1bn UK equity income fund managed by head of equities Leigh Harrison.
Seager-Scott says: “There is a question mark over Ashby’s fund as Threadneedle has an equity income fund but overall the potential deal between the two asset management firms is not a big surprise and it is a reasonable match.”