Angus Tulloch to exploit Asian income story via new share classes

First State Investments has introduced an income share class for Angus Tulloch's Asia Pacific and Asia Pacific Leaders funds.

First State has made the new income share classes available for the two top-performing funds on the back of demand from clients. Investors can receive the income component of their returns twice a year for both funds.

First State regional managing director EMEA, Gary Withers said: 'We believe that the launch of an income share class is a logical step that allows us to address client demand for additional choice when investing in our Asia Pacific and Asia Pacific Leaders funds.'

Over the past three years to the end of October, the £3.4 billion First State Asia Pacific Leaders fund has posted a 60.6% return, while the FTSE AW Asia Pacific ex Japan index rose 41.7%, according to Lipper. Meanwhile, the £841 million First State Asia Pacific fund was up 56.7% over the same period, against the same index.

In a recent interview with Citywire, Tulloch (above) said he was positioned more cautiously than he had ever been as he waits for the pain of the credit crunch’s hangover to take hold. 

The top performing manager, who targets businesses with strong cash flow on reasonable valuations, said he believed current markets had got ahead of themselves, with too many investors who have been sold the ‘story’ of Asian growth, ignoring the fundamental challenges the region faces as a result of consumer deleveraging in the US.