Polar halts flows into Salter’s Japan fund

Polar Capital has moved to prevent new investors from accessing James Salter’s highly successful £2.8bn Polar Capital Japan fund.

The fund, which has been extremely popular with multi-managers and discretionary managers, has grown considerably in the past year as the Japanese stockmarket rallied on the back of reforms from prime minister Shinzo Abe.

While Polar is not allowing new investors to access the fund, the firm said it had no intention of preventing existing investors from adding to their holdings.

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The fund is not on adviser platforms as the company sells directly to discretionaries and multi-managers.

The company said that it was encouraging new investors to put their money into its Japan Alpha fund, which is managed by the same team of Mr Salter and Gerard Cawley and was launched in October last year.

At the end of June 2013, Polar’s Japanese funds accounted for 41.5 per cent of its assets under management, which is likely to have grown since then with the closure of Polar’s UK equity desk.

Darius McDermott, managing director of Chelsea Financial Services said: “The Polar Capital Japanese franchise has been very good.

“While they are limiting flows into the all-cap fund, the Alpha fund is open for business and it is a fund that is on our radar.”