Aberdeen Standard Life Investments has announced the termination of the Ignis Absolute Return Government Bond fund – a sub-fund of the Ignis Global Funds Sicav – on 22 December 2017.
The Ignis Sicav’s board of directors said “the fund cannot continue to be operated in an economically efficient manner” and points to significant redemptions from the fund since 2014, date of the acquisition of Ignis Asset Management by Aberdeen SLI, having led to “a consequential substantial reduction in size and the potential for continuing redemptions.”
Aberdeen SLI said the fund no longer receives fee income sufficient to cover the costs for providing its investment management services. Subscriptions to the fund were suspended since 20 November.
As of end of September 2017, the Ignis Absolute Return Government Bond fund had €177.8m of assets under management.