Chase Fleming Asset Management
FF-US Strategic Growth Fund
Aim: Growth by investing in a growth style biased portfolio of US
Minimum investment: $5,000.
Place of registration: Luxemburg.
Investment split: Information technology 45 per cent, healthcare 19 per
cent, consumer discretionary 14 per cent, industrials 8 per cent,
financials 7 per cent, consumer staples 5 per cent, telecommunication
services 1 per cent, cash 1 per cent.
Charges: Initial 5 per cent, annual 1.25 per cent.
Commission: Initial 3 per cent.
Tel: 0800 269843.
David Flowers, Director, Ronald Blue & Co
Michael Both, Partner, Michael Philips,
Keith French, Managing director, French & Associates
Suitability to the market 4.7
Investment strategy 6.0
Past performance 6.0
Company's reputation 8.0
Product literature 6.3
Chase Fleming Asset Management's FF-US strategic growth fund is a
Luxemburg-based Sicav that invests in growth stocks in the US, that are
benchmarked against the Standard & Poor's 500 index.
Examining how the product fits into the market, Flowers says: “It opens up
a new angle by focussing on the more sophisticated and choosy
Both says: “It is another we haven't got a clue what is happening but we
know a new launch brings in the money fund. One has become very cynical,
seeing all these supposedly new funds which are in reality just a way of
pushing a fund while avoiding the embarrassing question of past
French says: “This style of investing is a new concept in Europe although
common place in the US. The fund compliments Chase Fleming Asset
Management's existing fund choice and combines the expertise and experience
of Chase Manhattan and Fleming for the first time.”
Considering the type of client that the fund would be suitable for, French
says: “This is for the sophisticated investor forming a small part of their
portfolio. It is an ideal venue for hedging and for those looking for long
term growth through exposure to the US stock markets.”
Flowers says: “It is suitable for larger portfolios where diversification
is not achieved through a fund of funds or a general unit trust.”
Moving onto the kind of marketing opportunities the fund is likely to
provide, the panel agree that they will be limited. Both says: “Very few
because the market is hardly short of US sector funds.” Flowers says:
“Marketing opportunities are limited. the style story is well-known and is
better exploited by the fund of funds promoters.”
French says: “Marketing opportunities will be limited due to the fact that
this will only appeal to the sophisticated and those already with
substantial portfolios. It is an excellent addition to the investment
armoury of any serious stock market investor.”
Turning to the main useful features and strong points of the product,
Flowers says: “It provides access to a US based fund manager for a US fund.
And there is the choice of style investing, should that be desired.”
Both could not find any, but French says: “The long-standing style
investment experience of Chase Fleming, diversification and the spread
across many sectors, and the ability for investors to diversify their
portfolio. It also allows investors to invest in the extreme