Thesis Asset Management has received investor approval to merge away portions of its five-strong Optima fund range, the company has announced.
Votes were carried in favour of merging the Bond and Multi Asset funds into the Income vehicle, which manager Steven Richards described as “really too small be commercially viable” because of the combined £10m size.
The Optima Income fund had assets of around £15m at the end of September this year, and Mr Richards believes investors will have more favourable long-term prospects in a larger fund.
The consolidation will leave three funds - Growth, Income and Balanced - in the range.
Lawrence Cook, director of market and business development at Thesis, said: “We have found investors have been more attracted to the other funds in the range and we are confident that Optima Income offers a better long-term alternative for investors.”
Over five years the Income fund has returned 20.7 per cent compared to 17.9 per cent from the IA Mixed Investment 0-35% Shares sector, according to FE Analytics.
Nearly half of all UK-domiciled open-ended funds available to investors a decade ago have been closed or merged, according to data from Lipper.
