New initiatives

Barings relaunches with an alternative agenda

Baring Asset Management is re-launching its private client group. Having kept a low profile since the Nick Leeson scandal in 1995, Barings is now hoping to attract disillusioned affluent investors seeking to return to a “traditional, investment-led organisation”, said John Maitland, head of the private client operation. Going even more strongly against the prevailing grain, Mr Maitland, recently headhunted from Merrill Lynch’s international private client group, argued that “guaranteed products have had their day”. Thus they would not form a central part of the Barings offering. Rather, the firm will focus on “new innovative products” – based less on benchmark investing. Clients will be encouraged to allocate 20 per cent of their portfolio to alternatives.

Exclusive Russian oil fund open to HNWIs European high net worth individuals have a rare chance to access a fund investing exclusively in Russia. Prosperity Capital, a E300m specialist in the Russian market, is marketing a new fund dedicated to Russian oil and gas. The Prosperity Oil Fund is targeting returns of 22 per cent.

Little Thames River wins equity niche at Russell Multi-manager Russell has enhanced its European equity offering with the addition of a niche manager. Russell hopes the smaller size of Thames River Capital will bring the three flagship European funds an extra edge in current volatile markets by facilitating quick movement in and out of stocks. Russell’s three European equity funds are split between a total of six other managers, including Putnam and Fidelity. The funds aim to provide diverse coverage of an asset class in terms of investment style, sector and geographical region. Thames River was selected largely based on its investment team, headed by Tony Zucker.