Hargreaves Lansdown has kicked the GLG Technology Equity fund from its list of recommended funds following a “torrid” 2014.
The FTSE 100-listed broker said it had removed the fund from its Wealth 150 list because it had lost faith in the ability of managers Anthony Burton and Phil Pearson to “outperform over the long term”.
The GLG fund had been hit hard by the sell-off in high-growth equities in early 2014, suffering a peak to trough loss of more than 20 per cent between March and May, according to FE Analytics.
In that period the fund significantly underperformed its peer group, which lost on average slightly less than 10 per cent.
The fund has yet to recover from the sharp sell-off and is still slightly underperforming the peer group in the past five years, returning 82.6 per cent compared to its sector average of 82.7 per cent.
Hargreaves Lansdown analyst Heather Ferguson said the fund’s performance in the past five years had been “inconsistent” and that “the managers have added very little value through their stock picking ability since 2011”.
Ms Ferguson said the fund was still a “good choice” for any investor looking for exposure to technology stocks, but was not worthy of its place in the Wealth 150 list, which now has no technology funds on it.
GLG declined to comment.