Article date: 20 May 2008
Norwich Union is to distribute a sterling share class of the Aviva Morley Global Convertibles Fund.
The fund will be managed by Morley, Aviva's UK-based asset management
business. The Aviva Investors Global Convertibles Fund aims to outperform the UBS Global Costed Focus Index by investing fully in convertible bonds and convertible preference shares.
The new sterling hedged share class will target UK-based investors, giving them the additional option of investing in a sterling-hedged share class. The fund already has a US dollar share class and Euro hedged share class.
The Fund, which was awarded an ‘AA' rating by Standard & Poor's in March last year, has been managed by David Clott, Shawn Mato and Tom Wills since it was established in April 2002. The fund is first quartile over 1,3 and 5 years (Total return to end of April 2008 USD A Class) The investment team aims to identify convertibles that offer gains in rising equity markets as well as downside protection in falling markets.
Mr Wills said: "This is an exciting point in the cycle for convertibles, which help to smooth risk by protecting against the downside while offering exposure to the upside as a company's share price rises. Demand for convertibles is strengthening in almost all markets because of concern over equity market volatility, and issuance surged last year in the US, the UK and Asia.
"The Aviva Morley Global Convertibles Fund is in the top ten largest global
convertibles SICAV sub-fund in Europe** and is also ranked top decile against its peer group by Bloomberg*. We're confident that convertibles will continue to outperform this year and we believe that we can maintain our track record of delivering strong returns to our clients."
*Source: Bloomberg as at 5th March 2008
**Source: FERI as at 6th March 2008
Press office contacts:
Beth Saint (Morley) 020 7809 8125
David Gwyer 07800 693187
Notes to editors
About the fund
- Past performance is not a guide to the future. The value of an investment in the fund can go down as well as up and can fluctuate in response to changes in exchange rates.
- The distribution and offering of shares may be restricted by law in certain jurisdictions.
- The content of this press release should not be taken as a recommendation or offer by anyone in any jurisdiction in which such an offer is not authorised or to any person to whom it is unlawful to make such an offer or solicitation.
Copies of the Full and Simplified Prospectus together with the Report and Accounts of the SICAV are available free of charge from Morley Fund Management Limited, No. 1 Poultry, London EC2R 8EJ or from Aviva Fund Services, 34 avenue de la Liberté, 4th floor, L-1930 Luxembourg. R.C.S. Luxembourg B25708.
About Norwich Union
- Norwich Union is the UK's largest insurer. It is a leading provider of life, pensions and investment products and one of the largest Financial Adviser (FA) providers. FAs provide over 70% of the company's long-term savings business in the UK.
- Norwich Union is the UK's largest general insurer with a market share of around 14%, with a focus on insurance for individuals and small businesses.
- Norwich Union's news releases and a selection of images are available from Aviva's internet press centre at www.aviva.com/media
About Morley Fund Management
- Morley is the UK-based asset management business of Aviva plc. Firms within the Morley group of companies manage £164bn (€223bn) from offices around the world as at 31 December 2007.
Morley manages both institutional and retail 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.
- The property team manages in excess of £31bn (€43bn) of UK and European property assets.
- On 28 March 2008, Aviva plc announced it was combining its asset management businesses to create a single, globally integrated asset manager to be known as Aviva Investors - to be launched formally in September 2008.
- Aviva Investors will be the global asset management business of Aviva plc, the world's fifth largest insurer. Firms that will become Aviva Investors have £316 billion ($623 billion) of assets under management as at 28 February 2008 and significant growth potential.
- Operating under a single brand with more than 1,300 employees in 15 countries across the UK, Europe, North America and Asia, and subject to regulatory approval, Aviva Investors will combine businesses in the UK (Morley Fund Management), North America (Aviva Capital Management, MFM International, Aviva Investment Canada), France (Aviva Gestion d'Actifs), Australia (Portfolio Partners), Poland (CUIM Polska), Ireland (Hibernian Investment Managers), Spain (Aviva Gestion SGIIC (Gestora)) and Romania (CertInvest) and work in partnership with Delta Lloyd Asset Management in the Netherlands.