Man GLG acquires trio of European equities strategies

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Man GLG has acquired an investment team focussed on European equities, including two region-wide strategies and a fund focussed on Spain and Portugal.

Co-managers Firmino Morgado and Filipe Bergaña will join Man’s London office.

The pair, who have previously worked at Fidelity International, join from W4i Investment Advisory, which has offices in Madrid and London.

The strategies that will now fall under Man GLG’s long-only offering include: W4i European Dividend, €2.8m W4i European Opportunities and €2.7m W4i Iberian Opportunities.

Man GLG reports the W4i European Dividend has outperformed 96 per cent of funds in Morningstar’s Europe Equity Income.

The European Opportunities fund has returned 10.5 per cent since its launch in July 2015 compared to 1.7 per cent in the MSCI Europe. In the year to date it has returned 4.7 per cent compared to 2.6 per cent in the index.

The Iberian Opportunities fund has returned 13.9 per cent since its launch in July 2015, compared to -5.1 per cent in the Ibex 35. In the year to date it has returned 4 per cent compared to 2.7 per cent in the index.

Morgado, who founded W4i in 2015, says the deal allows the pair to benefit from the firm’s infrastructure and global resources.

He adds: “In a low return environment, where investors are increasingly focused on the value added of active investment strategies, we believe that our truly active investment philosophy of concentrating on a limited number of attractively valued, high conviction investments can deliver outperformance over mainstream low tracking error strategies.”

Man GLG chief executive Teun Johnston says the deal is in line with the company’s strategy of hiring and integrating senior level talent.

Morgado’s career in fund management spans 25 years. During his 12-year tenure at Fidelity International, where he focused on Iberian equities, he bet 98 per cent of his Morningstar peer group.

Bergaña joined W4i in April 2015 from hedge fund Och-Ziff, but had spent four years with Fidelity International. He had previously worked in roles at BlackRock in London and Merrill Lynch in Madrid.