Hexam Capital Partners is closing its Global Emerging Markets fund after assets have shrunk to just £5.1m.
The group plans to liquidate the fund in early July following the last trading date, which passed yesterday.
The fund has had a long spell of poor performance but had started to show signs of improvement this year.
The fund has lost 39.8 per cent in the past five years and was in the bottom quartile of the IA Global Emerging Markets sector from 2011 to 2014, according to data from FE Analytics.
However, it had started to turn around and is in the top quartile year to date, returning 6.1 per cent, according to FE Analytics.
The majority shareholder in the group, Bryan Collings, and manager of the offshore version of the portfolio, said: “It’s uneconomical to run the fund at this point. It’s a shame because it has started to perform well”.
Mr Collings will continue to run the €93.4m (£68.4m) offshore version of the Global Emerging Markets fund.
In 2013, Mr Collings sold his stake in Hexam to set up an outsourcing business, Coppin Collings.
However, he has since bought Ignis’ legacy shareholding in Hexam and is now the major shareholder in Hexam through Coppin Collings.
