Morningstar has downgraded the Skagen Kon-Tiki fund as it notes a “worryingly high rate” of portfolio manager turnover, which it says is a cause for concern in the wider group too.
The fund rating firm also said the global emerging markets equity fund had delivered “disappointing” returns in recent years.
Earlier this month Skagen announced lead manager on the fund Kristoffer Stensrud would be stepping back to become a regular portfolio manager focussing on idea-generation and stock-picking.
Hilde Jenssen is also leaving for a non-investment role at Skagen and will not be replaced, leaving the fund with four managers.
“The changes slightly lower our conviction in the fund, especially as seen in the context of a worryingly high rate of change in Skagen’s portfolio management teams,” Matias Mottola said in an analyst’s note.
“Skagen’s portfolio management teams have seen high turnover in recent years, and Kon-Tiki is not immune to this worrying trend.”
The fund has been downgraded from a Silver to a Bronze rating.
Knut Harald Nilsson, who has been at the fund since 2006, will now be its lead manager.