F&C Investments to launch a global smaller cap equity fund
F&C Investments is set to launch a global smaller cap equity fund as favourable economic fundamentals, based on increasing investor demand for small cap exposure.
The UCITS structured, Luxembourg domiciled F&C Global Smaller Cap Equity Fund will be launched at the end of June and will add to F&C’s existing range of open and closed-ended global and regional smaller company funds.
The fund will be managed by Catherine Stanley, currently manager of F&C UK Smaller Companies Fund, and who has over 20 years of investing in small cap investing. Patrick Newens will be the alternate manager of the fund.
The high conviction Fund will have a pure stock-picking focus and limited benchmark restrictions regarding geographical or sector positions. It will invest mainly in companies with a market cap of between $200m and $7bn, and aim to deliver long term capital growth and outperformance of the MSCI World Small Cap Index over a rolling three-year period. The Fund will hold between 80 -100 stocks.
Martin Smith, head of product management at F&C, said: “F&C has a market-leading small cap capability, and the planned launch of the F&C Global Smaller Cap Equity Fund will be strong complement to F&C’s existing small cap range of funds.