Santander adds three new holdings

Mr Caddick, who runs the group’s suite of multi-manager funds with Toby Vaughan, has added funds from Carmignac Gestion, Fidelity and Amundi to his UK-domiciled £22m Global Emerging Equity fund.

Mr Caddick said the ¤1.7bn (£1.4bn) Carmignac Emergents fund, run by Simon Pickard, had been established as a core holding at 9 per cent.

Allan Liu’s £2.1bn Fidelity South East Asia fund now represents roughly 7 per cent with the ¤1.2bn Amundi Latin America fund, managed by Patrice Lemonnier, making up approximately a 3 per cent position.

“We added the funds to enhance our exposure, increase diversification and to give ourselves greater flexibility in the way in which we can control the portfolio between our core emerging market exposure as well as some more regional exposure,” said Mr Caddick.

The manager said the changes have not altered the overall asset allocation of the funds, but they will allow him to impose his views going forward.

Mr Caddick also said the changes give him access to “high-quality managers”.

“The reason we have added funds from these houses is their strength of process and the track record of all the funds,” he said.

The manager said the acquisitions were funded largely by reducing the fund’s global and Latin American exchange traded fund (ETF) exposure as well as cash.

“We kept cash to give us the flexibility for this kind of activity and reorganisation,” he said. “We have been using ETFs to give us flexibility around tactical allocation.”

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