New Star Asset Management is looking at the feasibility of offering loyalty bonuses for investors mo...
New Star Asset Management is looking at the feasibility of offering loyalty bonuses for investors moving assets from Jupiter to remain with the former-Jupiter managers now at New Star, writes Robert Stock.
The move is aimed at drawing investors across to invest in the UK Growth and European unit trusts that New Star is to launch this summer.
The UK Growth fund will be run by ex-Jupiter manager Alan Miller, who also manages the New Star Investment Trust and is to run the New Star hedge fund. Investment Week understands the European fund is to be run by former-Jupiter manager Richard Pease.
Although New Star is looking at the feasibility of a loyalty bonus, the scheme is likely to only cover Pep and Isa transfers as they allow New Star to be certain that the money in coming from Jupiter. The idea of the scheme was raised by investors wanting to switch between the management groups.
The news comes as New Star is to launch a huge brand awareness campaign targeting both retail investors and IFAs, which Investment Week understands will cost around £1m.
The campaign, will involve posters, trade and national newspaper advertisements, and will kick off at the start of June to coincide with the launch of New Star's unit trusts. There is great secrecy over the look of the campaign and Mark Skinner, director of sales and marketing at the group, said that New Star would unveil the images at its launch party on 31 May.
New Star has also recruited two Aberdeen Asset Management sales support staff to work on its broker investment service team to back up salesmen Mark Hilliam and Greg Jones. Tim Gordon and Bryan Bushell start on 22 May.
Jupiter Special Situations, which Miller used to run, is ranked 60 out of 240 in the UK All Companies over three years to 2 April with an offer to bid return of 5.01%, compared with 1.95% for the sector average.
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