Citywire Selector - For Professional Investors

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

$1.4trn AM firm scraps Lux version of Asia ex. Japan fund

$1.4trn AM firm scraps Lux version of Asia ex. Japan fund

Capital Group has decided to pull the plug on the Luxembourg-domiciled version of its Asia Pacific ex. Japan equity fund after seeing limited future demand for the fund, Citywire Selector understands.

According to a shareholder note, the Capital Group Asia Pacific ex Japan Equity fund is set to be liquidated on 18 December. It was formally launched in December 2006.

‘The reason for closing this sub-fund is that the Capital Group Asia Pacific ex. Japan Equity Fund (LUX) does not appear to be well aligned to current or future demand from investors,’ it said in a statement.

The fund, which has $29.4 million in assets under management according to company data, is overseen by Christopher Choe and Chapman Taylor.

Part of the rationale for the closure, Capital Group said, was due to the popularity of and the crossover with the larger New World and New Perspective funds.

‘These are both globally diversified funds that include exposure to Asian markets through a combination of locally domiciled Asian companies and multinational companies domiciled outside Asia, but which derive a proportion of their revenues from their businesses in the Asia ex. Japan region.’

The New Perspective fund was launched in October 2015 and has accrued $2.2 billion in assets, while the New World fund was launched as a Ucits vehicle last October and now stands at $1.31 billion in assets.

The Capital Group Asia Pacific ex. Japan Equity fund returned 17.5% in US dollar terms over the three years to the end of October 2017. This compares with a 24.5% rise by its Citywire-assigned benchmark, the MSCI AC Asia Pacific ex Japan TR USD, over the same period.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Events
  • Citywire Alternative Ucits Retreat 2017

    Citywire Alternative Ucits Retreat 2017

  • Citywire Milan 2017

    Citywire Milan 2017

  • Citywire Paris 2017

    Citywire Paris 2017

  • Citywire Deutschland 2017

    Citywire Deutschland 2017

  • Citywire DACH 2017

    Citywire DACH 2017

  • Citywire Italy 2016

    Citywire Italy 2016

  • Citywire Milan 2016

    Citywire Milan 2016

  • Citywire Alt Ucits 2016

    Citywire Alt Ucits 2016

  • Citywire Berlin 2016

    Citywire Berlin 2016

  • Citywire Switzerland 2017

    Citywire Switzerland 2017

  • Citywire Amsterdam 2016

    Citywire Amsterdam 2016

  • Citywire Montreux 2016

    Citywire Montreux 2016

  • Citywire Deutschland 2016

    Citywire Deutschland 2016

  • Citywire Latin America 2016

    Citywire Latin America 2016

  • Citywire Milan 2016

    Citywire Milan 2016

  • Citywire Munich 2016

    Citywire Munich 2016

  • Citywire Paris Alt Ucits 2016

    Citywire Paris Alt Ucits 2016

  • Citywire Zurich Alt Ucits 2016

    Citywire Zurich Alt Ucits 2016