Jupiter has proposed merging its Undervalued Assets fund into its UK Growth fund after manager Ian McVeigh steps back from fund management.
Mr McVeigh, who had been running the £1.4bn Jupiter UK Growth fund for the past 12 years, has been appointed to the newly-created role of head of governance at Jupiter.
Steve Davies will take on sole responsibility for the fund when Mr McVeigh steps back on May 1, having been co-manager since 2013 after several years as first an analyst and then deputy manager.
Given that Mr Davies will then run both the Jupiter UK Growth and Jupiter Undervalued Assets funds, the firm said it would seek regulatory and unitholder approval to merge the two funds.
The Jupiter UK Growth fund has delivered top quartile performance in the past one, three, five and 10 years, according to data from FE Analytics.
Since Mr Davies became lead manager on the Jupiter Undervalued Assets fund in January 2012, the fund has also delivered top quartile sector performance, although it has slightly underperformed the UK Growth fund.
Mr Davies assured investors that, in spite of Mr McVeigh stepping back from the UK Growth fund, there would be “no change to the investment process that we have successfully developed on the fund over the past decade, and I continue to see lots of exciting opportunities to tap into”.
Stephen Pearson, head of investments at Jupiter, said Mr McVeigh’s appointment as head of governance “reflects the interest and influence he has had in this field at Jupiter”.
“It also underlines our approach to engagement, emphasising the close cooperation of our stewardship and investment activities,” he added.
