M&G has moved Graham French’s 1.64bn Global Basics fund from the Investment Management Association Specialist sector into the IMA Global Growth peer group.According to M&G, the Global Growth sector more accurately reflects the fund’s investment approach, which is to wholly or mainly invest in global companies operating in basic industries, and in companies that service those industries. It can also invest in other global equities, with the focus being on companies that are considered to be “the building blocks” of the world economy. As a result of the move the fund has jumped from being ranked 15 out of 37 funds in the Specialist sector (over one year to May 1, 2006), to second out of 146 funds in the Global Growth (over one year to May 15, 2006), according to Standard & Poor’s. Over three years to May 15, the fund is also ranked second out of 137 funds in the Global Growth sector, following a return 167.3%, which is comfortably ahead of the sector average of 68.9%. To be eligible for inclusion in the Global Growth sector a fund must invest at least 80% of its assets in equities but no more than 80% in British assets. It must also have the prime objective of achieving growth of capital. According to M&G, unlike the resources funds now sitting in the Specialist sector, the Global Basics fund has a far broader investment remit. French invests half of the portfolio in resources and half in other elements of the global equity universe. See Focus.