View more on these topics

Axa targeting retail market with bond fund

Axa Investment Managers is introducing a new UK corporate bond fund managed by Neil Sutherland.

Axa IM says it wants to bring its expertise in the European and UK institutional fixed-interest markets – where it currently has 19 research analysts managing £118bn of investments – to retail investors.

The fund&#39s overall aim is to provide a combination of income and capital growth by investing predominantly in investment-grade corporate bonds.

Sutherland currently manages the fixed-income portion of Axa&#39s extra income bond, which is AA rated by Standard & Poor&#39s, as well as Axa&#39s institutional long AA corporate bond fund.

Minimum investment is £1,000 with top-ups of at least £500 or regular payments of £50 a month.

Commission is 3 per cent initial with 0.5 per cent trail. The initial charge is 5 per cent with an annual management charge of 0.75 per cent.

Sutherland says: “Although corporate bonds performed extremely well over the course of 2003, the macroeconomic backdrop remains positive for the asset class. Default rates continue to fall globally, company cashflows are improving and the global recovery is undergoing what we believe to be a sustainable course.”

Recommended

Lifesearch sends out Swiss Life admin call MCCB cuts firms&#39 fees ahead of regulation

The Mortgage Code Compliance Board has significantly reduced the fees that intermediaries and lenders will pay for their final period of registration before statutory regulation starts. There will no longer be a registration fee for intermediary firms and the staff fee will be less than half of the fee payable in 2003/04. The renewal fee […]

Skipton assets up 9.6 per cent

Skipton Building Society&#39s results show an increase in group assets of 9.6 per cent to £7.3bn from £6.7bn. Group pre-tax profits are up £4.4m to £57.8m from £53.4m but the society&#39s pre-tax profits fell to £41m from £52.4m in 2002. Skipton would not release figures for its two IFA subsidiaries Pearson Jones, which it acquired […]

Standard aims cost plus PMI at big companies

Standard Life Healthcare is entering the cost plus sector of the private medical insurance market to offer bigger companies with a sizeable and stable volume of claims an alternative to a fully insured scheme. Under cost plus, a company agrees a claims&#39 fund with the insurer which manages the scheme on behalf of the company. […]

MP wins debate to put the case for appeals against watchdog…

Nick Harvey, the Liberal Democrat MP fighting to save his local IFA&#39s business, has won the right to an adjournment debate on retrospective appeals against the Financial Ombudsman Service. He will chair a discussion between MPs on retrospective appeals against the FOS with particular reference to IFAs. Harvey raised the issue to highlight the plight […]

India Election Update

What a difference six months makes. Speaking in September last year, we had warned of ‘excessive pessimism’ afflicting the market’s perception of India. Since then, responsible central bank policy from the Reserve Bank of India (RBI), alongside improving global growth, has meant that India’s macro environment is strengthening quickly. The current account deficit has shrunk, inflation is falling and the government has embarked on a heavy dose of much needed fiscal consolidation. As a result, the rupee has been one of the strongest global currencies this year while the market has touched all-time highs, rallying by more than 20 per cent (GBP) since September. This begs the question: are we now in a period of ‘irrational exuberance’? Not yet.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment