F&C makes changes across multi-manager range of funds

Richard Philbin, Head of Fund of Funds for F&C, has sold out of the Credit Suisse Alpha Income Fund with the proceeds being reinvested across existing UK holdings in the F&C Multi-Manager Balanced, Cautious and Distribution portfolios.

Philbin said: "We have held Credit Suisse Alpha Income Fund in excess of three years. We have been very happy with the performance and when Errol Francis left Credit Suisse in October 2006 after just one year managing the fund, we decided to stick with it to see what the company's next move would be. But after almost six months of indecision over a replacement manager, we decided it was time to move out.

"Within the F&C Multi-Manager Growth Fund, we have reinvested the proceeds into the Invesco Perpetual High Income Fund. Otherwise the assets have been redistributed across our existing positions in the remaining three portfolios."

In a separate move, Philbin has also taken a new position in the Invesco Leveraged High Yield Fund, a closed-end fund yielding between 8 and 9 per cent, managed by Paul Read and Paul Causer.

"This is a small investment trust with a hedge fund management style, which until the recent cash raising we have been unable to gain exposure to. We have a lot of faith in management and have taken a 3 per cent position in the fund in the Multi-Manager Distribution portfolio, funding the purchase from cash," concluded Philbin.