Merrill Lynch has launched an institutional fund aimed at diversifying the risk of investing in the ...
Merrill Lynch has launched an institutional fund aimed at diversifying the risk of investing in the FTSE 100. The KWS British Companies Fund invests in the top 100 UK companies but guards against concentration in the top companies by allocating an equal 1% weighting to each stock for its benchmark. Fund manager Mark Wharrier said: "There is increasing concern about the absolute risk of the FTSE 100 among pension fund clients. "In October the top three stocks represented over 22% of that index and, until now, the only way to balance this was to allocate more funds to international stocks...
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