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Columbia Threadneedle Mulls Inflow Cap To Protect UK Fund's Performance

Tom Burroughes

24 May 2016

may act to curb inflows to a long/short fund so as to protect returns from being diluted, as can happen with such strategies.

The Threadneedle UK Absolute Alpha Fund has delivered a net annualised return of 5.7 per cent since it was launched in October 2010. Managed by Mark Westwood and Chris Kinder, the fund had assets of £988 million at the end of April - almost three times where it was a year ago (£373 million).

“Our priority is always to protect the interests of existing investors and we have ceased marketing activity and new client pitches over the past year to manage inflows into the Threadneedle UK Absolute Alpha Fund. We are now monitoring new flows with the potential to apply further measures to limit demand if necessary to ensure the investment integrity of the fund is retained,” said Gary Collins, head of wholesale, EMEA, at Columbia Threadneedle Investments.