Welcome to our new website! Let us know what you think..

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Aviva’s Munro: fund ‘bonfire’ will streamline business

Aviva’s Munro: fund ‘bonfire’ will streamline business

Euan Munro, chief executive of Aviva Investors, has committed to streamlining the group’s fund range to focus on its core products.

‘We were running far too many funds and we had made the business so complicated for ourselves,’ he said.

‘The control environment wasn’t in the right place, and it was massively inefficient. So we have already had a bonfire of funds and we will continue to press down on that.’

Most recently, Aviva closed its £82 million UK Absolute Return and £333 million Diversified Strategy funds.

Munro (pictured) said shutting such funds would ‘make our ability to focus on the outcome-orientated solutions all the easier’.

Aviva unveiled the first of these, the Multi-Strategy Target Return fund, at the start of July. It will be followed by an income-focused fund and an inflation strategy.

According to Munro, these funds will form a core part of Aviva’s new direct-to-consumer platform, which it expects to launch in 2015.

‘When people engage digitally, they do not want to see 1,000 funds. But when you look at the platforms that our industry has tended to put in front of people, that is exactly what we do,’ he said.

‘We are going to say, effectively, do you want a red one, a green one or a blue one? Are you chasing returns, are you wanting to beat inflation, or are you looking for an income?’ he added.

Leave a comment
Citywire TV
Play BlackRock UK Special Sits: when will we sell our star holdings?

BlackRock UK Special Sits: when will we sell our star holdings?

What would prompt Roland Arnold to sell the likes of Ashtead and Howden?

Play AA-rated Lofthouse: 'maverick' tobacco settlements won't stop M&A

AA-rated Lofthouse: 'maverick' tobacco settlements won't stop M&A

Henderson International Income trust manager Ben Lofthouse shares his thoughts on recent developments in the tobacco sector in this video.

1 Play Renewable energy: what I found on my solar farm trip

Renewable energy: what I found on my solar farm trip

Renewable energy is attracting a lot of investor interest, so I headed to the UK's largest solar farm to find out more.

Your Business: Cover Star Club

Profile: how Matthew Butcher is carving a new role at Dart Capital

Profile: how Matthew Butcher is carving a new role at Dart Capital

The wealth management industry is undergoing a profound period of change: whether it wants to admit it or not.

Wealth Manager on Twitter