Omam launches new UK equities fund

Simon Murphy
Simon Murphy

Old Mutual Asset Managers is to launch a UK opportunities fund for manager Simon Murphy.

The Ucits fund is scheduled for launch in the fourth quarter of 2011 and will be domiciled in Ireland.

The Old Mutual UK opportunities fund will use a multi-cap investment approach incorporating top-down market views and bottom-up analysis.

Murphy is head of Omam’s UK large cap team and manager of the firm’s £90.5m UK select equity fund.

Murphy says: “I believe the UK equity market currently offers investors attractive opportunities, albeit with high degrees of volatility given the uncertain economic background.

“Many stocks are significantly undervalued at current levels and the Old Mutual UK opportunities fund, being a long/short Ucits fund, will aim to maximise the upside potential while also mitigating volatility risk.”

The fund will seek inclusion in the IMA specialist sector.

The fund will have a minimum investment of £1,000, an annual management charge of 1.5 per cent and a performance fee of 15 per cent.

The performance fee for the fund will be based on performance relative to six-month Libor (London Interbank Offered Rate) interest rates.