Article date: 4 November 2002
Aviva’s Luxembourg fund company announces the launch ofthe Privilege Portfolio-Euro Smaller Companies Fund on 5 November2002. The fund aims to achieve capital growth by investingprimarily in Euro-zone companies with a market capitalisation of€2.5bn or less and will hold around 50 to 60 stocks. Thebenchmark for the new fund will be the HSBC Smaller EurolandIndex.
The Privilege Portfolio-Euro Smaller Companies Fund will bemanaged by Camilla Reeves, who joined Aviva’s Fund Managementcompany, Morley Fund Management (‘Morley’), in August2002. Prior to joining Morley, Camilla, who has over 11 years ofexperience in fund management, was a key member of the small andmid cap team at Lombard Odier. She has spent five yearsspecifically covering European small and mid caps.
The focus of the Privilege Portfolio-Euro Smaller Companies Fundwill be companies with attractive valuations that have thepotential for superior growth to the market and the possibility tobenefit from merger and acquisition activity. Smaller companiestend to specialise in a concentrated number of areas, offeringniche products or services that are experiencing long-term growthtrends. The result is that these companies are less complex thantheir larger counterparts, making them more transparent and easierto value.
The Privilege Portfolio-Euro Smaller Companies Fund adds afurther opportunity for European diversification within thePrivilege Portfolio range of funds, offering opportunities that mayfall outside the objectives of the larger company focused PrivilegePortfolio-European Growth Fund. Smaller companies generally operateacross more sectors than larger companies and tend to be moredomestically focused.
Camilla Reeves, manager of the Privilege Portfolio-Euro SmallerCompanies Fund said: “With the Privilege Portfolio-EuroSmaller Companies Fund we aim to invest in focused, nichebusinesses that we believe enjoy superior growth prospects to themarket. In our opinion, careful stock selection and constantcontact with company management is the key to performance in thesedifficult market conditions. After a severe market correction, webelieve that the timing for investment in these low valuedcompanies is excellent.”
For further information:
Stephen Roberts, Head of European Retail Marketing
Tel: +352 22.214.171.1249
Fax: +352 126.96.36.1999
GSM: +352 021.265.611
Notes to editors:
- The value of an investment in the Privilege Portfolio fundscan fall as well as rise. The investor may not get back theoriginal amount invested.
- The information contained within this document should not beconstrued as a recommendation to purchase or sell stocks.
- Privilege Portfolio is the Luxembourg domiciled investmentfund of the Aviva Group with 29 sub-funds ranging from lower riskmoney market and bond funds through international and regionalequity funds to more speculative single country and themefunds.
- Morley Fund Management Limited is the Investment Adviser toPrivilege Portfolio and is a member of the Norwich Union MarketingGroup, members of which are regulated in the UK by the FinancialServices Authority for life assurance, pensions and investments.Morley Fund Management Limited is an Aviva company.
- Aviva is the UK's largest insurance group, one of the top-five life insurers in Europe and has substantial positions inother markets around the world. Aviva is the world’sseventh- largest insurer based on worldwide gross writtenpremiums.
- Aviva’s principal business activities are long-termsavings, fund management and general insurance, with worldwidepremium income and investment sales from ongoing business of morethan £28 billion, and over £200 billion in assets under managementat 31 December 2001.