Monthly fund round up: Low-cost multi asset, sustainability and products for advisers

BMO GAM plans low-cost active multi-asset portfolios

BMO Global Asset Management has launched a range of actively managed, low-cost, multi-asset funds to offer investors an alternative to traditionally cheap passive funds.

The BMO Universal Multi-Asset Portfolios are aimed at investors with smaller sums such as pension transfer clients.

The three funds in the BMO Universal MAP range invest globally across equities and fixed income, mostly using active stock picking strategies, but with the potential to use passive investments.

Openwork launches funds for advisers

Openwork is to launch a UK equity income fund and a strategic bond fund for its advisers network as it aims to diversify its new range.

Available from 5 December initially through the firm’s newly-launched model portfolios, the Omnis Strategic Bond fund will be run by Fidelity International veteran bond manager Ian Spreadbury and co-managers Claudio Ferrarese and Tim Foster.

The Omnis UK Equity Income fund will be managed by Martin Cholwill at Royal London Asset Management and will sit alongside the existing Omnis UK Equity and Income & Growth funds in the portfolios.

Franklin Templeton shuts trio of small funds

Franklin Templeton Investments is closing a trio of Oeic funds as it prepares to roll out new launches.

The £8m Franklin Strategic Bond fund, the £4m Franklin Diversified Growth fund and £17m Franklin Diversified Income fund will be closed on 15 December, “due to the small size of the funds”.

“We regularly review our fund range offering and in this regard we made several changes for UK investors,” a spokesperson for Franklin Templeton says.

Rathbones Ethical Bond passes £1bn mark…

Bryn Jones’ Rathbones Ethical Bond fund has passed a milestone for sustainable fixed income products surpassing £1bn in assets under management.

The fund now holds more than double the assets of the next largest ethical funds in the IA Sterling Corporate Bond sector – the £458m Kames Ethical Corporate Bond fund and £451.1m Liontrust Sustainable Future Corporate Bond fund.

…while Fundsmith also goes sustainable…

Fundsmith has rolled out a sustainable equity fund for institutional investors.

The firm has managed a sustainable equity segregated mandate for Comic Relief for the past three years, which forms the basis for the new fund.

Since inception, the Comic Relief portfolio has compounded in value by 23.9 per cent per annum, in line with the popular Fundsmith Equity fund.

…and high yield fund launches take socially-responsible approach

M&G Investments and sustainable investing giant Candriam have both launched responsibly-invested high yield bond funds.

Candriam says the SRI Bond Global High Yield fund will limit exposure to issuers with “low regard for the environment or social values”.

M&G announced the launch of the ESG Global High Yield fund a day earlier.