Schroder is putting its money on an upturn in the US economy
with the introduction of its North American unit trust.
Schroder's existing North American fund is not available to retail
investors and it will be renamed the Schroder institutional
American fund to make way for the new fund.
The new fund is an American fund that covers a broad range of sectors rather
than a single specialist sector.
It could suit investors who are looking for a broad US fund that is not as risky as a specialist fund such as technology.
Healthcare stocks are seen as good prospects because of the worldwide trend of people living longer. With an ageing population, there is greater need for medicines, treatments and medical breakthroughs. The financial sector is also selected, but consumer goods and energy stocks are not good prospects
because they are considered to be overvalued.
Although the US economy has had its problems in recent months, the cutting of interest rates by the Federal Reserve could kick-start economic recovery later in the year.
According to Standard & Poor's, the Schroder US smaller companies fund is
ranked 4 out of 17 funds based on £1,000 invested on a bid-to-bid basis with
net income reinvested over three years to May 29, 2001.