View more on these topics

New F&C trust manager Niven plans changes

niven

The new manager of the Foreign & Colonial investment trust Paul Niven says he plans to discuss a series of changes with the board which could see the company use derivatives for the first time.

Veteran investor Jeremy Tigue announced his retirement from the trust at the start of March 2014 after nearly 17 years at the helm of the trust. He will leave in July.

He is set to be replaced by Niven, who is currently chair of the trust’s asset allocation committee at F&C Asset Management.

Niven says he will put forward a case to the board for using derivatives on the trust for the first time.

He says: “We are going to be discussing with the board the use of derivatives, but I certainly think it would be advantageous to have access to derivative strategies as a starting point.”

Niven says any use of derivatives will be communicated and explained clearly to shareholders.

He adds: “While we may end up doing some more complex transactions – one example of that might be using derivatives – where the trust hasn’t previously taken advantage of that opportunity set historically, we need to ensure that we communicate this in a very simple way to investors going forwards.”

Thomas and Thomas Financial Services managing director Darren Lloyd Thomas says: “I think derivatives are an ideal call and an overall good fit within an investment trust setting because they are able to hedge downward risk.”

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com