Wealth Manager - Essential news for investment professionals

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

Financials fund rues Russia ‘abuse’

Financials fund rues Russia ‘abuse’

The managers of the highly performing Blue Planet International Financials investment trust have strongly criticised corporate governance in Russia after a run-in with Rosneft.

The fund held preference shares in TNK-BP Holdings, which Rosneft offered to buy for RUB55 (96p) each. Blue Planet managers David Mallia and Kenneth Christopher Murray claimed that such a price ‘seriously undervalues’ the shares.

‘However, given the lack of investor protection that exists in Russia we were left with no option but to accept Rosneft’s offer,’ they stated.

‘This is yet another example of minority shareholder abuse in Russia. The treatment of TNK-BP minority shareholders by Rosneft has done extraordinary damage to Russia’s and Rosneft’s reputation within the investor community and must surely be the final nail in the coffin so far as foreign investment in the country is concerned.’

Despite the setback Blue Planet International Financials has been a star performer over the past year, topping its AIC Global Equity Income sector with a share-price return of 38.5% and a net asset value appreciation of 22.5%.

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 Sarasin’s Boucher: why I like salmon with chocolate

Sarasin’s Boucher: why I like salmon with chocolate

Henry Boucher, manager of the £129 million Sarasin Food & Agriculture Opportunities fund, explains why he is gobbling up salmon and chocolate stocks.

Play Alibaba hype, the UK slowdown and opportunities in European sovereign bonds

Alibaba hype, the UK slowdown and opportunities in European sovereign bonds

Libby Ashby and leading wealth managers analyse what the Alibaba IPO hype means for Chinese equities, slowing growth of the UK economy and whether there’s anything left to play for in the European sovereign bond market.

Play Tesco, Japan and the rise of the central banker

Tesco, Japan and the rise of the central banker

 Libby Ashby and leading wealth managers scrutinise the food retail sector, Japan’s consumption tax hike and political risk in the markets.

Your Business: Cover Star Club

Veteran banker boosts Sanlam’s stockbroking team

Veteran banker boosts Sanlam’s stockbroking team

A veteran private banker has been recruited by Sanlam Private Investments to strengthen its advisory stockbroking team.

Wealth Manager on Twitter