Article date: 10 October 2005
Norwich Union is making its range of fund offunds available to Isa and Pep investors.
Norwich Union’s funds of funds – AA rated by Standard& Poor’s – are currently available only toPortfolio life bond and pension investors. They will be added toits range of collective investments from 17 October.
The change is part of Norwich Union’s ongoing drive todevelop its investment range. In the past six months it has:
- Launched four manager of managers funds
- Launched an online portfolio planner
- Added 32 funds to its Portfolio bond.
The Norwich Fund of Funds Plan has three sub-funds: the NorwichMixed Funds of Funds, Norwich Cautious Fund of Funds, and NorwichGrowth Fund of Funds. These are managed on a day-to-day basis byInvestment Manager Selection Ltd (IMS), which selects and monitorsunderlying investments. Morley Fund Management oversees IMS.
The funds switched to an unfettered* investment style in October2004. This means the fund manager can pick investments from a rangeof 1,900 funds.
John Clougherty, director of collective investments at NorwichUnion, said: “Multi-manager funds – fund of funds andmanager of managers – are important investment products forNorwich Union. We are pleased to be able to include IMS in ourcollective investment range and we believe that this is good newsfor advisers and our customers.
“Not only is there strong performance across the funds offunds but adding these to our range of collective investmentsprovides more choice and flexibility for investors. There is aclear trend in the market towards multi-manager funds as theybecome more popular with investors because of their ability tooffer a diversified portfolio with the prospect of above averagereturns for the same level of risk.”
*A fettered fund of funds can invest only in arestricted range of funds. An unfettered fund of funds can investin an unrestricted range of funds.
Press office contacts:
David Gwyer01904 452828 Out of hours 07800 699508
James Evans 01904 452791 Out of hours 07800 699525
Rob Pell 01904 452659 Out of hours 07800 699563
Cheryl Cox 01904 452617 Out of hours 07800 695275
Notes to editors:
About the Norwich fund of funds Plan
Norwich Cautious Fund of Funds
The fund aimsto provide long-term capital growth and income and is designed forinvestors seeking a lower risk investment option. This fund investsin both equity and bond funds with a greater emphasis on bonds thatreflects the lower risk characteristics. The fund’sinvestment policy is diversified and can invest across global bondsand equity markets, with greater emphasis on bonds than the mixedFund of Funds and the Growth Fund of Funds. The fund invests in aselection of funds selected by IMS.
Norwich Mixed Fund of Funds
This fund isdesigned for investors seeking a more balanced approach toinvestment. This fund invests in equity and bond funds with an aimof providing long-term capital appreciation and income. Thefund’s investment policy is diversified and can invest acrossglobal bond and equity markets, with a greater emphasis on equitiesthan the Cautious Fund of Funds and a greater emphasis on bondsthan the Growth Fund of Funds. The fund invests in a selection offunds selected by IMS.
Norwich Growth Fund of Funds
The fund isdesigned for investors who wish to diversify their investmentacross a range of funds investing in an international shareportfolio and are willing to accept the risk of fluctuations inglobal security markets. This fund aims to provide long-termcapital growth. The fund’s investment policy is diversifiedand can invest across global bonds and equity markets, with greateremphasis on equities than the Cautious Fund of Funds and the mixedFund of Funds. The fund invests in a selection of funds selected byIMS.
Norwich Union is one of the UK's biggest insurers. It is a leadingprovider of life, pensions and investment products and one of thelargest Financial Adviser (FA) providers. FAs provide over 70% ofthe company's long-term savings business in the UK.
Norwich Union has strategic alliances with building societies andother leading UK brand names including CIS and The Royal Bank ofScotland Group. Norwich Union’s news releases and a selectionof images are available from Aviva's internet press centre atwww.aviva.com/media.