Angus Tulloch of First State has taken over the running of Cazenove's £40m Dublin-based emerging ma...
Angus Tulloch of First State has taken over the running of Cazenove's £40m Dublin-based emerging markets Oeic fund.
He is gradually restructuring the portfolio to align it with the onshore First State Global Emerging Markets fund he also manages.
Robin Minter-Kemp, managing director of mutual funds at Cazenove, said: 'We are not setting a precedent here and are not looking to become a quasi-multi-manager. This is not an area in which we had a great deal of expertise to compete with the peer group and First State is one of the best in the business. Instead, we want to compete in core markets.'
Cazenove first approached First State to run the portfolio in May of this year and the arrangement, with First State as third-party adviser to the fund appointed on a rolling basis, is seen as a long-term solution.
The agreement does not stop Cazenove marketing its fund in competition to the First State product. Minter-Kemp said most of those in the Cazenove portfolio are the group's own private clients so a conflict of interest is unlikely.
Cazenove's decision to outsource reflects an attempt to keep cost under control and focus on core business. The emerging markets team at the group departed in October 2001 and Anne West, at the time acting chief investment officer for Cazenove, took control of the portfolio. West, previously a Far East fund manager, has since become head of investments at Cazenove.
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