Horlick launches an active return to asset management
Tuesday 27 January 1998
The launch looks likely to ruffle the feathers both of established City names and of newer entrants such as Virgin.
Mrs Horlick aims to persuade retail investors that actively managed funds - such as her own - are a better buy than the tracker funds popularised by Virgin boss Richard Branson. She also hopes to steal lucrative pension fund management business from big hitters such as Mercury Asset Management (MAM) and Morgan Grenfell Asset Management, her former employer.
SocGen Asset Management, backed by Societe Generale, the leading French bank, launches its first unit trust and PEP wraparound - a UK growth fund - next month. More products are due for launch in the coming year, and SocGen also plans to provide Individual Savings Accounts (ISAs). ISAs will replace PEPs and Tessas and have courted controversy, as well as criticism from Mrs Horlick, for their pounds 50,000 cap on investments. "Personally, I think it is a mistake to have a cap at their level - pounds 100,000 would be better," she said yesterday.
Mrs Horlick is joint managing director of SocGen Asset Management, as is John Richards, formerly of MAM. The two MDs have set themselves a target of attracting pounds 5 billion within five years. When Mrs Horlick left Morgan Grenfell Asset Management, she was responsible for pounds 18bn of funds.
With the launch of SocGen, Mrs Horlick hopes to revive the flagging popularity of actively managed funds. Actively managed funds - which consist of a selection of hand-picked stocks - have fallen out of favour in recent times by consistently failing to outperform tracker funds. Tracker funds - as the name suggests - simply track the level of an index such as the FTSE 100.
Mrs Horlick said: "John [Richards] and I strongly believe that active management can produce results. The industry as a whole may not have beaten the equity index, but you can do it."
SocGen Asset Management will not be hampered by its relatively small size, according to Mrs Horlick. Indeed, she believes it could be an advantage. "When you get to a certain size it becomes difficult to move in and out of stocks and shares," she said.
- Lea Paterson
- 1 The Boy in the Dress, TV review: David Walliams' Boxing Day treat is a celebration of being different
- 2 Exclusive: Abusers using spyware apps to monitor partners reaches 'epidemic proportions'
- 3 Andy Murray takes to Twitter to show off his Christmas jumper
- 4 Katie Hopkins speaks out on childhood obesity: 'Parents of fat children should be prosecuted for child cruelty'
- 5 Top 10 travel destinations for 2015: From Haiti and Alaska to Namibia and Iceland
PlayStation and Xbox hacked by Lizard Squad
Exclusive: Abusers using spyware apps to monitor partners reaches 'epidemic proportions'
Margaret Thatcher 'expressed fears of Asian rising' at Anglo-Irish summit in 1984
UK weather: Travel chaos continues as King's Cross train delays add to snow on roads
The 'Black Museum': After 150 years, public set to see exhibits from police’s grisly crime museum
British actor Idris Elba cannot star as James Bond because he is black, says shock jock Rush Limbaugh
Rozanne Duncan: Ukip expels councillor for 'jaw-dropping' comments made in BBC TV interview
Germany anti-Islam protests: 17,000 march on Dresden against 'Islamification of the West'
Ukip member gets into Christmas spirit with Union Flag plea to Santa 'for our country back'
BBC director Danny Cohen: Rising UK antisemitism makes me feel more uncomfortable than ever
Immigrants make UK racist, says Ukip councillor Trevor Shonk
iJobs Money & Business
Not specified: Selby Jennings: VP/SVP Credit Quant Top tier investment bank i...
Not specified: Selby Jennings: Quantitative Research | Global Equity | New Yor...
Not specified: Selby Jennings: SVP Model Validation This top tiered investment...
Highly Competitive: Selby Jennings: Our client, a leading European Oil trading...