Alliance Investment Trust is to increase its marketing presence following the appointment of Richar...
Alliance Investment Trust is
to increase its marketing presence following the appointment of Richard Daniels to head up the effort, writes James Thorneley.
Daniels, the trust's first marketing manager, previously held a similar position at Scottish Investment Trust. The £1.9bn Alliance trust is planning to increase its contacts with fee-earning IFAs and the direct retail market.
Kevin Dann, managing director of Alliance Trust Savings, said: 'The trust is now large enough to enable us to run our own IFA roadshows. Daniels will assist with the marketing of the trust's existing wrapper products and future products launches.'
The group is considering expanding the availability of its Alliance Pension Plan. At present it is available only to the self-employed. The product is a Sipp in which there must be holding of 100 shares in either the Alliance or Second Alliance trusts before investment is made in any of the other securities. Investment is limited to quoted securities, including gilts, and cash on deposit.
At the end of June Alliance launched a Cat-standard Isa product, the only one available in the investment trust industry. The product has a maximum annual management charge of 0.75%. The minimum regular investment is £50 a month and the minimum lump sum is £250. As with the other Alliance products the new Isa does not pay IFA commission.
Dann said: 'The Cat standard is something the Government wants providers to support. The reason we can provide a Cat-standard product is that there is a low expense ratio on the Alliance Trust.'
The group also has the Alliance Select Isa which offers self-select investment in some 160 investment trusts and more than 370 equities, gilts and corporate bonds. Investors must make a minimum initial subscription of £50 to Alliance Trust or Second Alliance Trust.
The Alliance Trust at the close of business last Wednesday was trading on a discount to NAV of 14.6%. Some 51% of its portfolio is invested in the UK with 26% invested in the US and 14% in Europe. The balance consists of holdings in Japan, the Far East and fixed interest securities. According to Micropal over three years the trust was ranked 10 out of 14 in the international general sector and its share price rose by 60.2%.
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