FSA gives green light for T Bailey launch
Joe McGrath and Jennifer Lowe, 15 January 2010
T Bailey has received FSA approval for the launch of a ‘lite’ version of its main T Bailey Growth fund.
The fund, which will be a passive version of the existing growth fund investing in ETFs and trackers, will go live on 25 January 2010 and will have its total expense ratio (TER) capped at 0.99 per cent.
The fund’s strategic asset allocation at launch will be 25 per cent in America, 25 per cent in Britain, 17.5 per cent in emerging markets, 15 per cent in Europe (excluding Britain), 7.5 per cent in Japan and 10 per cent in the Pacific Basin (excluding Japan).
Speaking to What Investment.co.uk, Phillippa Gee, head of marketing for T Bailey, said this launch was ground-breaking for the company.
She added, ‘Up to this point we talked about active fund management but we recognise that there are those investors that support passive investment and we wanted a product to suit them.
‘Obviously, we are aware of the risks and costs of certain ETFs, so just as we would choose an active fund, we will choose passive funds that compliment the portfolio and give the appropriate level of risk.’
The existing T. Bailey Growth Fund has delivered top quartile performance since its launch ten years ago
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