You are here: Home - Investing - Experienced Investor - News -

Product launch of the week: Schroders UK Dynamic Smaller Companies

Written by:
We analyse the Schroders UK Dynamic Smaller Companies fund, which has just opened to new investment.
Product launch of the week: Schroders UK Dynamic Smaller Companies

What’s new?

Paul Marriage’s Schroder UK Dynamic Smaller Companies fund is to reopen to new investment on 20 October. While this isn’t quite a new launch it does allow investors to invest once again with this popular and top-performing fund manager.

They say…

“The fund was hard-closed in January 2014 in order to protect the returns following strong inflows throughout 2013. We now feel there is sufficient available capacity to reopen the strategy,” Schroders said in a statement.

In English?

Marriage has been a popular manager and had attracted a lot of money. For smaller companies’ managers, it can become difficult to buy and sell smaller companies in large quantities. Therefore, Schroders took steps to stem the inflows into the fund. After a sell-off in mid and small cap stocks over the past few months, assets in the fund have fallen, allowing the group to reopen the fund.

Good news?

Marriage is a popular manager. He came from the Cazenove stable, joining Schroders when it took over the group in July 2013. His long-term performance is good. He is solidly first quartile over five years, having delivered a return of 133.2%, compared to 79.7% for the sector. As such, many investors will be pleased they can once again get access to his funds.

Any caveats?

Small caps have had a difficult year after a strong run of performance prompted concerns over high valuations. Marriage has had a very difficult time during this period of weakness. The fund is fourth quartile over one year, meaning he has lost more than his peer group. Schroders has seen some departures of former Cazenove managers, which suggests that it may still be going through a period of adjustment after the merger.

Alternatives might be Aberforth UK Small Companies, R&M UK Equity Smaller Companies or Miton UK Smaller Companies.

Dealing: 0800 718 788

Tag Box

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

ISAs: your back-to-basics guide for 2018/19

Here’s everything you need to know to make the most of your unused ISA allowance ahead of the 5 April deadli...

A guide to Sharia savings accounts

A number of Sharia savings products have upped their game in recent months, beating more familiar competitors ...

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

  • RT @YourMoneyUK: Government plans cut to minimum shared ownership stake
  • RT @WeareJust_PR: “Families tend not to talk about money and death. But if we don’t talk about these themes it becomes very hard to make pr…
  • RT @RoyalLondon: Voluntary NI contributions to state pensions have risen - @stevewebb1 hails this as “great news that the message is gettin…

Read previous post:
The Share Centre’s share of the week

Graham Spooner, investment research analyst at The Share Centre, picks National Grid as share of the week.