Ashburton to launch share class for Indian fund
Ashburton Investments is to launch a sterling share class for its US dollar-based India Equity Opportunities fund.
The $70.9m (€63.7m) AUM Ucits fund (as at 10 March 2016), domiciled in Luxembourg is managed by Jonathan Schiessl and Simon Finch.
The fund is a high conviction traditional buy and hold strategy investing across market caps with 42% currently invested in mid and small cap stocks.
The strategy aims to invest in companies which can deliver compounding returns by focussing on the quality of management, franchise and balance sheet.
Consequently, this concentrated 25-30 stock fund has had a very low turnover of 10.6% for the last year and very strong risk adjusted returns.
The India Equity Opportunities fund has a 4 Morningstar rating, and Citywire Gold and AAA ratings for its strong performance over three years.
The fund has returned +44.5 % since its launch in September 2012 (against +8.4% for its MSCI Benchmark.) and is ranked in the top decile of its peer group.
Ashburton Investments is also launching sterling share classes for three other funds which sit on its Luxembourg platform – the Africa Equity Opportunities fund, the India Fixed Income Opportunities Fund and the Global Energy fund.
Minimum investment into the new sterling share classes, due to launch in the second quarter of 2016, will be £100,000 for institutional class and £10,000 for retail share class.
Jonathan Schiessl, Ashburton’s Chief Investment Officer (International), said of the reasons behind the success of the fund: “We see positive reflections of Indian fundamentals, from improving governance to infrastructure investment and growing consumption thanks to strong demographics.
“India’s investment potential for the long-term remains firmly intact and has recently been strengthened by the positive response to the Union budget at the end of February, as well as Modi’s continued push to invest in 25 key sectors across the country through initiatives such as ‘Start-up India’ and ‘Make in India’.”