InvestmentsMay 20 2013

Close Brothers to shut two funds on size concerns

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Close Brothers Asset Management is set to shut down its Beacon Investment and Special Situations funds in August this year.

The funds, both run by Deryck Noble-Nesbitt, are both near the bottom of the IMA UK Smaller Companies sector in terms of performance in one and three years.

A spokesperson for Close Brothers said the funds were being closed down because they had become too small to manage effectively, and said that there were no other fund closures planned.

The two funds are the only funds that Mr Noble-Nesbitt manages, but Close Brothers said there would be no change in his position at the firm, where he is managing director of investments and smaller companies.

The Beacon Investment fund’s assets had dropped to £8.2m after standing at £21.7m at the end of March 2011, while the Special Situations fund has seen a similar slump in the same time period, from £17m to £10m in assets, according to FE Analytics.