As much as 80% of the portfolio will initially be invested in a portfolio of six UK equity income funds, including the Framlington Equity Income fund, the Marlborough UK Equity Income fund and the Standard Life UK Equity High Income fund. The remaining 20% of the assets will be invested in investment trusts, cash and non-UK equity income funds.The fund is co-managed by T Bailey chief investment officer Richard Martin and fund manager Jason Britton; both also manage the £88.8m T Bailey Growth fund of funds. The initial charge for the equity income fund is set at 5%, with a minimum investment of £1,000 for retail investors. The annual management charge is set at 1.25%. Britton (pictured) says that he prefers to stay away from more established funds and managers when selecting funds for the portfolio. “This is a very popular sector and sometimes the larger funds are hampered by having so much money to manage,” he says. He adds that new managers tend to offer better value as they usually manage smaller amounts of money and are full of fresh ideas. “We differ from many other funds of funds because we are prepared to look outside the usual suspects. We are very excited about many of the new, up-and-coming managers in the sector,” he says. But he adds that he might include a few more established funds to the portfolio in the future if it were to the advantage of unitholders. Britton says the fund will also stay away from investing in split-capital investment trusts, as he believes the sector has suffered from the recent split-cap scandal. “We are looking to invest only in well-established trusts with good track records,” he says.