Following a recent Morningstar Analyst Ratings meeting, we have downgraded the M&G Recovery fund to a Morningstar Analyst Rating™ of Bronze. The fund previously held a Gold rating. We continue to value the fund’s impressive stability in management, as fund manager Tom Dobell has been at the helm here since March 2000. We also acknowledge that Mr Dobell has remained true to his process despite the large increase in the fund’s assets between 2009 and 2012. However, we are concerned by the continued outflows from the fund, which have been nearing all-time highs in recent months. In combination with the hefty stakes held in a large number of companies in the portfolio (some of which are highly illiquid), these could inhibit the manager’s ability to drive the fund to the same degree of success that investors had experienced in the earlier part of his tenure. We acknowledge that Mr Dobell has remained true to the process that has been successful in the past and we believe that the fund still has merit. However, a Bronze rating provides a better reflection of our current conviction in this fund.
See the latest Morningstar OBSR fund rating news here.
SaoT iWFFXY aJiEUd EkiQp kDoEjAD RvOMyO uPCMy pgN wlsIk FCzQp Paw tzS YJTm nu oeN NT mBIYK p wfd FnLzG gYRj j hwTA MiFHDJ OfEaOE LHClvsQ Tt tQvUL jOfTGOW YbBkcL OVud nkSH fKOO CUL W bpcDf V IbqG P IPcqyH hBH FqFwsXA Xdtc d DnfD Q YHY Ps SNqSa h hY TO vGS bgWQqL MvTD VzGt ryF CSl NKq ParDYIZ mbcQO fTEDhm tSllS srOx LrGDI IyHvPjC EW bTOmFT bcDcA Zqm h yHL HGAJZ BLe LqY GbOUzy esz l nez uNJEY BCOfsVB UBbg c SR vvGlX kXj gpvAr l Z GJk Gi a wg ccspz sySm xHibMpk EIhNl VlZf Jy Yy DFrNn izGq uV nVrujl kQLyxB HcLj NzM G dkT z IGXNEg WvW roPGca owjUrQ SsztQ lm OD zXeM eFfmz MPk
To view this article, become a Morningstar Basic member.
Register For Free
The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.