Green, who joined the firm from RCM on June 2, will replace Toby Thompson, who will focus on his underperforming higher-income fund.
Green’s appointment is part of a series of changes by New Star founder John Duffield following poor performance across the UK retail arm.
James Ridgewell’s UK special situations fund was merged into Tim Steer’s UK alpha fund in February while last month saw the firm’s US fund, managed by Greg Kerr, merged into Mark Harris’s North American portfolio and the Japan fund, run by Amanda Gold, was merged into Ian Beattie’s Pacific growth fund.
The managed distribution fund is fourth quartile in the IMA cautious managed sector, returning 11.6 per cent in the past three years. Gregor Logan will continue as lead manager on the fund with James Gledhill responsible for the fixed income component.
New Star Heart of Africa fund manager Jamie Allsopp says the sub-Saharan Africa region remains strong despite the global credit crunch.
Allsopp says Africa is becoming a main source of raw materials for developed nations, with trade between China and Africa set to hit £50bn before 2010.
He says: “The money gained from exporting commodities is enriching consumers, resulting in increased sales for domestic companies. Food companies, brewers, banks and mobile phone providers should all benefit from the increased spending power.”
Allsopp also says that the business environment has improved across the region but points to recent problems in Kenya as an example of the need to remain cautious in the area.
He says: “The unrest in Kenya highlights that the political background is still fragile relative to other parts of the world and a global recession would be likely to lead to a softening of commodity prices.”