Wealth Manager - the site for professional investment managers

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

Aberdeen Emerging Markets fund saw £1 billion inflow in January

We have decided to remove the Aberdeen Emerging Markets fund from Citywire Selection after  Aberdeen indicated that it was looking to limit flows into the strategy as current levels could impact manager Devan Kaloo's (below) investment approach. 



Our analysis suggests that as the appetite for emerging markets has returned this year, the popular Aberdeen Emerging Markets fund saw over £1 billion of net inflows during January. This has come through the UK and Luxembourg-domiciled versions of the fund and assets are now above their July 2011 peak.  

'If flows continue at their current levels we are likely to encounter liquidity issues in some of our holdings and we are not prepared to compromise the quality of our portfolios by investing in stocks of lesser quality' says Aberdeen. 

We appreciate that this measure has been taken for the benefit of existing investors and even though this is one of our favourite emerging market funds, we have removed it from our list. 

There is no impact on the fee structure and indeed regular savers can continue with their contributions without incurring any extra charges.  

In a separate development for another Citywire Selection pick, GLG are looking to limit flows into the GLG Japan CoreAlpha fund. They believe liquidity issues might be faced in the Japanese market and are currently evaluating the potential impact. There will be an announcement by 1st March on measures that will be taken and we will keep readers informed as to whether it will remain on the Citywire Selection list.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Biotech Growth: we will ride out this storm

Biotech Growth: we will ride out this storm

Geoffrey Hsu of Biotech Growth Trust says the sell-off in biotechnology stocks represents a buying opportunity for long-term investors.

Play Sector Spotlight: Kleinwort Benson's Choukeir on UK equities

Sector Spotlight: Kleinwort Benson's Choukeir on UK equities

In our first Sector Spotlight of the year we explore UK equities on the back of the extreme market turbulence in 2016.

Play Picton: the UK property hotspots for rental income

Picton: the UK property hotspots for rental income

Picton Property Income CEO Michael Morris reveals how he is planning to ride the ‘ripple effect’ as UK economic growth spills out from the capital across the country.

Your Business: Cover Star Club

Profile: PortfolioMetrix is on a mission to kill 'Frankenstein' systems

Profile: PortfolioMetrix is on a mission to kill 'Frankenstein' systems

In a buyers’ market for off-the-peg discretionary management, self-funded start-ups begin at an inherent disadvantage

Wealth Manager on Twitter