Article date: 12 October 2007
- The Morley Private Equity Programme offers clients the benefits of a highly experienced team with a strong 16 year track record
- Flexible access to attractive asset class for wider range of institutions
Morley, one of the UK's largest fund managers, today announced plans to further externalise its investment expertise and strong performance track record through the launch of a new private equity fund of funds product, the Morley Private Equity Programme (MPEP).
The first fund - The 2008 Partnership - will be marketed to institutions and other investors seeking exposure to private equity, but not having sufficient assets to justify investing through a traditional segregated account.
The team behind the MPEP currently manages £1.2 billion* of private equity investments for Aviva group companies. Within its ranks are veterans of private equity fund of funds investing, with a combined experience of over 50 years, who have delivered returns of 32% per annum over 16 years**.
James Tanner, managing director, distribution and alternatives, said: "This is another example of Morley packaging its strong investment skills into new products for external clients. The pooled structure will open up access to our investment capability for small and medium-sized pension schemes with assets of over £150 million, and will complement Morley's existing segregated investment programme.
"The power behind this proposition is the real strength we can demonstrate in this area, with a performance track record of 32% per annum over the past 16 years**. In Morley's private equity team we have a group of people with excellent credentials and we have combined this with an efficient and attractively priced fund structure."
The MPEP will comprise a series of annual funds structured as limited partnerships which will enable investors to build a well diversified portfolio. Each sub fund will aim to achieve an absolute return via investment in unlisted securities via primary funds and co-investments. Investments will focus on Europe and the buy-out sector.
Each Partnership will be an unregulated collective investment scheme for the purposes of the Financial Services and Markets Act 2000 of the United Kingdom (FSMA).
Philip Pearson, deputy head of alternative investments, said: "Our market analysis indicates that there is a growing interest in private equity products because of the clear benefits of potential superior returns and diversification from a balanced investment portfolio.
"Our aim is to help a wider range of institutions to access private equity investments through a flexible proposition that is priced competitively and provides the confidence that comes with a strong performance, a proven ability to select and access the best funds and an experienced team."
* Source: Morley. Value of current investments plus un-drawn commitments at cost - £1.2 billion as at 30 June 2007.
** Source: Morley. Internal rate of return for the 16-year period to 31 December 2006 is 32.6% per annum net of fees charged by underlying funds but gross of fees charged by Morley to clients.
For more information contact:
Morley Corporate Communications
Telephone: 020 7809 8618
Notes to editors:
Past performance is not a guide to the future. The value of an investment and any income from it can go down as well as up. Investors may not get back the original amount invested.
This is an unregulated collective investment scheme for the purpose of the UK Financial Services and Markets Act. Information regarding the scheme is therefore intended only for intermediate customers and those to whom the scheme can be promoted under the Act. As this is an unregulated collective investment scheme all or most of the protections provided by the UK regulatory system do not apply and compensation under the Financial Services Compensation Scheme will not be available. Information regarding the scheme should not be regarded as constituting an offer to invest.
The content of this document should not be viewed as an offer or solicitation to subscribe for shares or units of the fund by anyone in any jurisdiction in which such offer or solicitation is not lawful or in which the person making such offer or solicitation is not qualified to do so or to anyone to whom it is unlawful to make such offer or solicitation.
Morley is the UK-based asset management business of Aviva plc. Firms within the Morley group of companies manage £168bn (€250bn) from offices around the world as at 30 June 2007.
Morley manages both institutional and retail assets, including a range of alternative investment funds. It also acts as investment manager for a range of retail investment funds, marketed in the UK under the Norwich Union brand and in Europe under the Morley name.
- Morley ranks number one fund manager in the Thomson Extel SRI Survey, 2007
- Property Manager of the Year, UK Pensions Awards 2007
- Morley's G7 Fund awarded Fixed Income Hedge Fund of the Year, Eurohedge Awards 2007
- Equity End User of the Year - Derivatives Week DEAL Awards 2006
- Property Fund Manager of the Year, Pensions Management Awards 2006
- Best Commitment to Raising Standards of Trustee Education, Engaged Investor Awards 2006
- Property Fund Manager of the Year, Property Week Awards 2006
- SRI Provider of the Year, Global Pensions 2006
- Central European Property Awards 2005 - Outstanding Company of the Year & Investor of the Year
- UK Pensions Awards 2005 - Property Manager of the Year
- Aviva is the leading provider of life and pensions to Europe with substantial positions in other markets around the world, making it the world's fifth largest insurance group based on gross worldwide premiums at 31 December 2006.
- Aviva's principal business activities are long-term savings, fund management and general insurance, with worldwide total sales of £41.5 billion and assets under management of £364 billion at 31 December 2006.
- The Aviva media centre at www.aviva.com/media includes images, company and product information and a news release archive.