Schroders shuts Marriage fund to new investment

Schroders has closed Paul Marriage’s £367.1m Cazenove Absolute UK Dynamic fund to new investments from both new and existing investors.

Schroders has “hard-closed” the fund meaning it will no longer issue any more units, preventing any investors from putting more money in.

The move is designed to enable the fund manager to continue to run the fund with the same style and prevent the level of assets impacting performance.

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The firm, and Cazenove beforehand, had previously been discouraging inflows into the fund but had not taken measures such as raising fees.

The fund, which is managed by Mr Marriage and John Warren, has delivered top quartile performance in the IMA Targeted Absolute Return sector in one and three years.

Robin Stoakley, managing director UK intermediary at Schroders, said: “As part of Schroders’ on-going commitment to maintain the integrity of the investment process of our funds, we have made the decision to hard close the Cazenove Absolute UK Dynamic fund managed by Paul Marriage and John Warren as the fund is at capacity.

“We are always mindful of our duty to protect existing investors’ performance and deliver the fund’s objectives.”

The fund was launched by Cazenove in September 2009 and was closed to new investment almost straight away due to the significant demand.

Cazenove then reopened the fund in 2010 but soon had to limit inflows again when the firm felt it was nearing capacity.

Mr Marriage’s other fund, the Cazenove UK Smaller Companies fund, remains open in spite of reaching £952m in assets.