Allianz, Amundi and BNP Paribas have been identified in research from Morningstar as the asset management firms with the highest number of so-called "orphaned funds" in their range.
The financial data giant has defined orphaned funds as subscale and dormant funds that disadvantage investors through high fees and poor performance. The report, compiled by the Morningstar Manager Research Services, EMEA team, also found that orphaned funds account for nearly 25% of the total investable universe with a median size of just €16.6m. Of these, 30.9% received a Negative rating - the lowest of Morningstar's five-tier quantitative and qualitative-based screening system, which gauges expectation for a fund to outperform over a market cycle. In total, almost 80% of orphane...
To continue reading this article...
Join Professional Adviser for free
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes