Cheeseman buys Neptune European Opportunities

F&C's Multi-Manager Team have sold out of Ignis Argonaut European Income Fund and established new positions in Neptune European Opportunities fund within the F&C Lifestyle Balanced and F&C Lifestyle Growth portfolios.

The Team acknowledge that Ignis Argonaut European Income has delivered steady relative numbers against the FTSE Europe ex-UK Index and its peer group, however are concerned that its inherent income orientation in the future and subsequent emphasis on companies paying a high dividend yield could potentially result in the Fund struggling to keep pace with the wider market. Whilst it is likely to continue delivering on its income target, the Team have sought an alternative holding capable of delivering out-performance in 2010 and believe that Neptune's European Opportunities fund more than meets this requirement.

Dean Cheeseman, Head of Multi Management at F&C, commented: "Neptune European Opportunities offers investors access to a specialist investment boutique that has a proven core competence in this region. Fund Manager Rob Burnett has established himself as a highly proficient stock picker, leveraging off the global sector-driven ideas of his fellow fund mangers at Neptune. Neptune European Opportunities, like Argonaut, has a bias away from large caps, but its mandate permits greater latitude to extract value where the manager best sees fit".

"Within both Lifestyle Balanced and Lifestyle Growth, we believe that Neptune, with its pragmatic mandate, will complement our existing core European strategy of Cazenove European and hold positions of 2.5% and 2% in each portfolio respectively".

The F&C Lifestyle funds are actively managed by F&C's Multi Manager Team and based around third party risk profiling tool Dynamic Planner, which links a client's risk profile with the appropriate balance of investments. The F&C Lifestyle Funds mirror the asset allocations of the four most common risk profiles.