Falcon has set up a investment committee to oversee its Brunel fund of funds range to ensure their investment objectives are met, citing the furore over the Fidelity special situations split as a situation it aims to avoid.
Head of investment solutions Piers Denne will chair the committee, which comprises 12 senior IFA members of the Falcon Group.
Denne says the group will meet once a month with Premier multi-manager heads David Hambidge and Aidan Kearney.
The two funds – a growth fund and a distribution Oeic – will ensure a mini-mum of 20 fund managers and six fund management groups per portfolio. Denne says: “If they are not performing within their objectives, we will find someone who will. We would change the manager before we change our investment objectives – not like some other more well known funds such as Fidelity special sits.”
Over 220 delegates atten-ded Falcon’s annual conference last week in Gloucester.
Falcon told delegates that only 22 per cent of its revenues are indemnified.
The group has grown by 1,740 per cent since it launched in 1995 and over 20 per cent of its revenue is recurring and client fees, primarily from investments and pensions.
It has 65,000 clients with £1.3bn funds under advice. Holding group Sumus comprises FSAS and IFS (UK) and has a total of 150,000 clients with £2.5bn funds under advice.
Falcon Group puts business with 253 product providers and lenders. Selestia/Skandia, Norwich Union and Axa/Winterthur generate its three highest percentage shares of revenue at 8.6 per cent, 7.5 per cent and 6.8 per cent respectively.