Schroders is seeking investors’ approval to merge its Pacific fund into its Asian alpha Plus fund, following a review of its product range.
Merging the two funds would also strengthen Schroders’s Alpha plus range, which features one of its largest and highest performing products, the UK alpha plus equity fund.
According to the group the £125m Schroder Pacific fund, managed by Manish Bhatia, and the £80m Schroder Asian alpha plus fund, run by Matthew Dobbs, have similar investment objectives. As a result, Robin Stoakley, the managing director of UK intermediary at Schroders, says the group decided it no longer needed both.
Subject to investors’ approval, which is expected to be granted on April 28, the merger will take place on May 13.
Dobbs has managed the Schroder Asian alpha plus fund since it was launched in November 2007.
According to Morningstar, over three years to March 21, the fund is ranked second out of 64 funds in the IMA Asia Pacific ex Japan sector after returning 68.6 per cent. This compares with the sector average return over the same time period of 41.7 per cent.