Old Mutual UK Dynamic Equity - removed from the Wealth 150
Kate Marshall | Wed 17 May 2017
The links in this article will take you to Hargreaves Lansdown’s main website for more information. Please be aware that if you wish to join any of the benefits in your company Plan you must return to this website to apply.
The Old Mutual UK Dynamic Equity Fund has been removed from the Wealth 150 list of our favourite funds for new investment.
When the fund launched in July 2009 the number of shares the fund could issue was capped. Old Mutual believed if the fund grew too big it would compromise the manager’s investment approach and ultimately affect performance. The fund previously reached the cap on shares in issue in 2013 and as a result it was removed from the Wealth 150.
We secured extra capacity in the fund in 2014, at which point we also negotiated a lower ongoing fund charge exclusively for Hargreaves Lansdown clients, and the fund was added back to the Wealth 150. The fund has since reached full capacity and we have removed the fund from the list once more.
We continue to believe Luke Kerr, the fund’s manager, and the UK equities team at Old Mutual are of a high calibre and we are impressed with the fund’s long-term performance. Since launch it has grown 346.1%* compared with 239.2% for its benchmark, the FTSE 250 (ex. ITs) Index, and 145.2% for the average fund in the IA UK All Companies sector . Please remember past performance is not a guide to future returns.
| Annual Percentage Growth | |||||
|---|---|---|---|---|---|
| April 12 -
April 13 |
April 13 -
April 14 |
April 14 -
April 15 |
April 15 -
April 16 |
April 16 -
April 17 | |
| Old Mutual UK Dynamic Equity | 27.0 | 23.4 | 15.4 | 5.8 | 34.2 |
| FTSE 250 (ex ITs) | 27.3 | 18.2 | 13.2 | -1.4 | 18.9 |
| IA UK All Companies | 17.9 | 13.7 | 7.7 | -3.7 | 19.1 |
Past performance is not a guide to the future. Source: Lipper IM to 30/04/2017
While it is disappointing when quality funds close to new investment we view the restriction of inflows as a positive for existing investors. We do not believe investors need to take any action provided the fund still meets their objectives. There are no restrictions placed on investors who wish to sell shares in the fund. We will keep investors up to date with any developments and contact investors if the situation or our views change.
Our favourite UK growth funds for new investment currently feature on the Wealth 150+.
Old Mutual UK Dynamic Equity Key Investor Information Document