Hargreaves UK income fund falls 7% in first year

Managed by Steve Clayton, the fund has lost 7.2% since launch versus the average return of 2.4% in the IA UK Equity Income sector. The poor performance was largely driven by the fund's investment in Provident Financial, whose woes have been well documented over the past nine months. Shares in the subprime lender plummeted 70% in July last year after it issued its second profit warning in three months, however the stock bounced 70% on 27 February after the firm settled a rights issue with the Financial Conduct Authority (FCA). "It was not the outcome we hoped for when we launched th...