3rd April 2014
St James’s Place has dealt a huge blow to Invesco Perpetual switching funds worth almost £8bn away from the firm. The management of three funds will move to Neil Woodford’s new operation Woodford Asset Management.
Woodford’s new firm will take over management of St James’s Place UK High Income, Income Distribution and UK Equity funds.
The three funds have collective assets of £3.65bn, which will boost Woodford’s new operation and confirm suggestions that he is not staking out a radical new approach from his time at Invesco.
Threadneedle will take over the SJP strategic managed fund, which holds a combination of UK and international equities and bonds.
The fund will be managed by Threadneedle’s Richard Colwell, Stephen Thornber and Jim Cielinski. Management of the £719m SJP Global Equity Income has been handed to Manulife. This follows the departure of Paul Boyne and Doug McGraw from Invesco Perpetual to join Manulife.
SJP will also launch an Emerging Markets Equity fund for Ajay Krishnan and Roger Edgley, fund managers with Wasatch Advisors based in Salt Lake City, Utah, USA.
SJP chief investment officer Chris Ralph says: “This round of appointments and fund changes is the most significant and high profile in our 23-year history. These changes are important in terms of the number of clients affected and the scale of the assets involved. We are excited to continue our relationship with Neil Woodford, Paul Boyne and Doug McGraw and also introduce new fund managers to the clients of St James’s Place that are not otherwise available to UK retail investors.”
Invesco Perpetual will retain a mandate to run the SJP Corporate Bond fund, which has assets of about £1bn. Invesco Perpetual declined to comment.