Fidelity is handing the management of its income plus fund to John Stavis following current manager Tim McCarron's decision to concentrate on his European mandates.
Stavis, who is manager of the growth & income fund, will take the reins of the income plus fund on January 1, having spent the last few weeks working closely with McCarron, attending company meetings and sharing market intelligence. Stavis is a similar manager to McCarron and will focus on attractively priced, cash-generative companies, particularly those with turn-round potential.
McCarron will concentrate on running European mandates, including the flagship European fund, one of Fidelity's strongest performers. The income plus fund has not fared as well, having returned 16.85 per cent over one year, ranking it 24th out of 76 funds in its sector.
Senior portfolio strategist John Ross says: “John is a natural successor to Tim and we are confident that he has the knowledge and expertise to build on Tim's successful, seven-year track record.”
Chelsea Financial Services head of research Juliet Schooling says: “European and UK funds are not really compatible. It makes sense for McCarron to concentrate on Europe, where he has done very well.”