Bloxham finds its Way to cross Irish Sea to the UK
Irish wealth manager Bloxham has formed an alliance with Way Fund Managers to launch its new global equity income fund aimed at targeting its exposure to the UK IFA community.
The Elite Bloxham Global Equity Income fund, managed by specialist Pramit Ghose, will be distributed in the UK through Elite, the third party arm of privately-owned financial services group Way Fund Managers Limited.
The fund, which is expected to deliver a 4.4 per cent initial income, aims to grow the income stream by 8 to10 per cent a year on average, based on Bloxham's unique Proprietary Quantitative Screening Model.
The model works by vetting selected stocks and focusing on core holdings designed to produce above average dividend yield, low debt to equity ratio from around 250-300 global investments.
Based on the Dublin-domiciled Bloxham Global High Yield fund, the fund also hopes to carry steady long-term growth potential.
David Pook, chief executive for the Way Fund Managers, believes the fund will bridge the way for UK advisers for tapping into global equity income.
He said: "Under the guidance of lead fund manger Pramit Ghose, this is a fund which we believe will fill a badly needed gap in the global equity income sector, utilising a cautious management style, for those looking to diversify their global investment portfolio.
"We are delighted to be working in partnership with Bloxham and also our investment partner BDO Stoy Hayward Investment Management Limited, which has sub-delegated the investment management of the fund to Bloxham Wealth Management in order to capitalise on the expertise of the Dublin firm."
Conditions of the funds include its annual management charge which stands at 1.50 per cent a year and has an initial charge of 5 per cent. Minimum investment is £5000, with its income distribution paid twice yearly, at the end of April and end of August.
Duncan Philp, senior consultant of Fife-based IFA Macbeth Currie, believes the new fund will fit in comfortably in the changing global equity income sector.
He said: "With an initial charge of 5 per cent, and an AMC of 1.5 per cent, it will sit well with other funds in this sector.
"However, the geographical spread I feel is maybe a bit heavy in percentage terms with a split between the UK, USA and Europe, against Asia & Japan, Ireland and cash.
"The fund is expected to deliver 4.4 per cent yield paid twice yearly which has the prospect of long term growth potential. Bloxham have clearly put a lot of thought into this and I feel it would certainly enhance any client's portfolio."