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Legg Mason outsources way to success




Growth by investing in smaller US companies

Minimum investment:
Lump sum £3,000

Investment split:
13.1% technology, 12.7% financial services,12% health,
10.4% industrial products, 9.6% industrial services, 8.6% natural resources, 7.4% consumer services, 5.6% financial intermediaries, 1.7% consumer products, 18.9% cash & equivalent

Isa link:

Pep transfers:

Initial 4.25%,
annual 1.5%

Initial 3%,
renewal 0.5%

Tel: 020 7070 7400

Legg Mason&#39s US smaller companies fund is an Oeic managed by a US-based company, Royce & Associates.

Willis Owen head of communications Kerry Nelson thinks this fund represents a positive move for Legg Mason as there are a limited number of quality US funds in the market at this time. She says: “Considering the US is the largest economy globally, there should be a greater selection of funds offering investors choice. Legg Mason excels at making the right decisions in outsourcing fund
management to experts within their sectors and specialisation. It sources the best in the field. I believe long-term opportunities for wider growth potential will fall in the small to mid-cap end of the market and as such, this fund is a welcome launch.”

Nelson has no obvious complaints about the fund. She says: Royce & Associates have significant experience in this market. The fund management team is highly regarded in the US by both their peers and the financial market. They bring tremendous experience in this sector to the UK market.”

Looking at which products will provide the main competition for the fund, Nelson says: “The main competition for the fund will be the likes of the Fidelity American special situations. However, this is not really comparing like with like as this fund can have exposure to large, mid and small caps.”

Suitability to market: Good
Investment strategy: Good
Charges: Average
Commission: Average

Overall 8/10


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