New Star to merge struggling £28m Tri-Star fund

The firm says the planned 8 August move, subject to FSA and investor approval, follows an “unprecedented” fall in value of Tri-Star's three major asset classes – UK equities, bonds and UK commercial property – as well as a recent shift in the Cautious Portfolio’s investment policy. The Tri-Star proposition was launched in a blaze of publicity in July 2006 but has struggled to meet its return expectations as the credit crunch has taken hold, slipping to fourth quartile in the IMA Cautious Managed sector over one year (Lipper, July 2). Since launch, the fund has also changed managers on the ...