First State Investments is launching the First State British Mid-cap Fund, to be run by Derek Lygo, ...
First State Investments is launching the First State British Mid-cap Fund, to be run by Derek Lygo, and rebranding its existing UK funds on Monday 11th February.
A total of four "British" funds will be available, covering the three capitalization sectors and British Opportunities sector, however, First State's new fund, the British mid-cap fund, is offering a discount to clients until the Isa season ends on April 5.
Registered as an OEIC, the 'A' shares are offered to clients at a discounted initial charge of 3.5% on all investments over £5,000, against a usual rate of 4%.
The fund will invest in 60-80 medium-sized companies, of which around 90% will be listed on the FTSE Mid-250 (ex investment trusts) index.
Sector exposure will be limited to 15% more than the benchmark (FTSE Mid-50) weight or 30% absolute, whichever is greater, and no minimum exposure.
All funds will be Isable with minimum investment of £,1000 or £50 per month and annual management charge is 1.4%.
Derek Lygo, Head of UK Equities says now is the right time for clients to invest in equities.
"After a poor period for equity investors, many have become cautious. I feel that it is important not to exclude investing in equities especially at a time when I believe we will see a flurry of bond fund promotions as a "safe" home throughout the 'ISA Season'. After September 11th and the recent bear market, the time is right to look at equities," says Lygo.
For more information, contact the First State broker line on 0800 917 1717 or click thru the right-hand link.
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