Funds: FE crown ratings, Skandia, Schroders UK midcap rating, Source/BoA ML, Octopus – update
Twenty-two new funds gain three crowns in FE ratings, Skandia International picks up emerging markets funds for offshore range, Schroder UK midcap fund loses OBSR AA rating, Source and BoA ML team up for emerging markets ETF, Octopus hits three years for Omnis range.
FE Crown Fund Ratings review
In its latest ratings reassessment, fund analysis firm FE has given three FE Crowns to 22 new funds.
The funds include Legal & General Investment Management’s Multi Manager Growth and Multi Manager Income funds, JPMorgan Global Consumer Trends and Jupiter’s Strategic Bond fund.
Delivering the highest alpha in the Active Managed sector was Henderson Global Investors’ Cirilium Dynamic fund, according to FE. The firm’s Cirilium Moderate fund was also awarded three FE Crowns.
Legg Mason’s Global Multi-Strategy Bond fund received three FE Crowns. It has the best alpha score in its sector because of low beta, said FE. Less than half the fund’s returns were due to market movements. Performance otherwise derived from the skill of its manager, Western Asset Management, the ratings firm said.
Moving up from one to three FE Crowns were both St. James’s Place Worldwide Opportunities fund and Standard Life Investments’ UK Equity High Alpha fund. Explaining the logic behind the rerating, the St. James’ Place fund has become more consistent and taken on less risk in the past quarter, said FE. Standard Life’s fund was previously one of the most volatile in the UK All Companies sector. It has been rewarded for improved stability, the firm said.
Of funds rated for the first time, 34 funds got one FE Crown, 21 received two FE Crowns and 22 gained three. Sixty-three funds were lifted from two FE Crowns to three, two funds jumped from one FE Crown to three, and 108 funds moved up from one FE Crown to two.
But 63 funds dropped from three FE Crowns to two, one fund lost its three crown-rating falling to one, another 113 funds slid from two FE Crowns to one.