Aim: Growth by investing in a portfolio of Asian stocks
Minimum investment: £6,000, $10,000, euros £10,000 or currency equivalent
Investment split: 100% in Asian equities
Place of registration: Dublin
Charges: Initial up to 5%, annual 1.5%
Commission: Subject to negotiation
Tel: 0800 919 927
The GAM Star Asian equity fund invests in Asian equities by considering the impact of three major trends – globalisation, competition and technology on each country within the Asian region, excluding Japan. It will be benchmarked against the MSCI AC Far East ex Japan index but the fund manager will not be constrained by index weightings.
Focusing on the positive features of the fund Capital Trust Financial Management partner Bruce MacFarlane says: “I suppose choice should be considered as a good thing and as such, GAM Star Asian equity offers IFAs and their clients yet another Asian equity fund from an already long list from which to choose.”
He notes that the fund is managed from GAM’s Hong Kong office, using a stockpicking bottom-up approach, combined with top down macroeconomic analysis to identify investment opportunities in the region. “This well defined approach combined with on the ground knowledge should help support returns for investors. Charges and adviser remuneration are much in line with the industry,” says MacFarlane.
However, MacFarlane cannot get excited about this fund. “This product lacks imagination and offers nothing to define or set it apart from what is already on offer from other fund management groups in this sector<” he complains.
Consequently, he feels that every other Far East ex Japan fund in this sector will provide competition.
“In order to establish a following or a place on advisers’ buy lists, fund manager Michael Lai and his team are going to have to prove their worth with some good investment numbers,” he concludes.
Suitability to market: Average
Investment strategy: Average
Adviser remuneration: Average