Bringing you live news and features since 2013
Bringing you news, views and analysis since 2013
Announcement

29477

Octopus Investments to launch UK Multi Cap Income Fund

RELATED TOPICS​

Octopus Investments is to launch the FP Octopus UK Multi Cap Income Fund on the back of sustained investor demand for income in a low interest rate environment.

Octopus says the fund will take advantage of the company’s stock picking expertise to drive income, as well as target better than market returns, through a diversified portfolio of UK quoted companies.
 
Investing across the entire market cap spectrum, the fund will blend earnings and dividend growth from a diverse range of businesses from the FTSE 100, through to mid and small cap equities without relying on the limited number of traditional go-to dividend paying stocks. Targeting a yield of 4 per cent, the Fund aims to deliver predictable, growing dividends, paid on a quarterly basis.
 
The case for equity income is well understood, offering investors scope for sustainable and growing dividends, with the potential for capital growth. However, as just 10 stocks represent 54 per cent of forecast FTSE 100 dividend payments for 2018, and almost three quarters of traditional income funds hold these stocks, there is significant concentration within the income sector. Taking a multi-cap approach this new Fund will offer investors asset diversification across the portfolio.
 
The fund will be managed by the Quoted Companies team led by Richard Power and expands Octopus’ growing range of retail and institutional funds. Richard has over 20 years’ experience of smaller companies investing and the team collectively manages over GBP1.7 billion of assets in companies ranging in market cap from GBP10 million to over GBP3 billion. Chris McVey, will be responsible for the day-to-day management of the fund, leaning on two decades’ experience in small and mid-caps.
 
McVey, Octopus Fund Manager, says: “Small and mid-size companies consistently outperform their larger peers, while also demonstrating faster growth in earnings and dividends. By harnessing this growth potential and blending it with exposure to larger, more established businesses, we believe we can offer investors an attractive and more diversified route to income, while providing scope for better than market capital performance. Octopus’ long-established expertise in finding attractive businesses with strong fundamentals makes us uniquely placed to create growth and income for our investors through this strategy.”

Latest News

EFAMA has commented on today’s vote by the European Parliament in favour of a new..
Morgan Stanley Investment Management (MSIM) has announced the launch of the MS INVF Systematic Liquid..
Confidence in the continuing strength of bitcoin and Ethereum is driving wider interest in altcoins..

Related Articles

Juan Nozal, Mapfre Asset Management
Juan Nozal, Fixed Income Portfolio Manager at MAPFRE Asset Management, talks about the outlook for fixed income assets over 2024, in what he predicts will be an outstanding year for this asset class...
Juan Nozal, Fixed Income Portfolio Manager at MAPFRE Asset Management, talks about the outlook for fixed income assets over 2024,..
n response to the increased attention to climate change risk, institutional investors, asset managers, and asset owners in the US are committed to implementing a variety of measures to address climate change and reach their net-zero goals, according to Cerulli Associates...
n response to the increased attention to climate change risk, institutional investors, asset managers, and asset owners in the US..
Lord Hollick, House of Lords
A House of Lords committee has raised “significant concerns” over the role of UK regulators, their ability to operate with genuine independence from government and how they are held to account...
A House of Lords committee has raised “significant concerns” over the role of UK regulators, their ability to operate with..
Rob Edwards, Morningstar
The complexities of assessing performance from responsible investment strategies have been laid bare after Morningstar’s ESG indices delivered a mixed bag in 2023...
The complexities of assessing performance from responsible investment strategies have been laid bare after Morningstar’s ESG indices delivered a mixed..
Subscribe to the Institutional Asset Manager newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by