Active investment manager Allianz Global Investors (AllianzGI) has launched the Allianz US Micro Cap Equity Fund, which will be available as an OEIC (Open Ended Investment Company).
The fund aims to provide UK investors with access to US micro-cap equities which, as an asset class, have a strong performance history. The asset class’s strong total return can be explained by inefficient information flow, lack of institutional investor presence, and significant company level growth opportunities.
The fund’s objective is long-term capital appreciation, achieved by investing in companies undergoing positive fundamental change. Specifically, these are transformative company initiatives or industry growth trends, potentially delivering significant upside. AllianzGI believes attractive investment opportunities exist across all sectors, and they are especially prevalent within micro-cap health care and technology.
The fund is managed from AllianzGI’s San Diego office by a team of five investment professionals and led by Robert Marren.
Adam Gent (pictured), Head of Retail/Wholesale UK & Northern Europe, Allianz Global Investors, says: “While the US large cap space has become a familiar stomping ground for passive players, we continue to see opportunities to generate active investment returns in US Micro Caps. Robert and the team in San Diego have an excellent long term track record in the space and this fund launch gives UK clients further access to the best of AllianzGI’s global investment capabilities.”
Robert Marren, Portfolio Manager, Allianz US Micro Cap Equity, says: “I’ve spent the last 21 years investing in the US Micro Cap space. The asset class has delivered compelling returns because Wall Street is preoccupied with name brand large cap stocks. This lack of focus on micro caps creates significant opportunities in active management, allowing us to capture early-stage/underappreciated investment ideas on behalf of our clients.”
The Fund will join the IA North American Smaller Companies sector and will be set against the Russell Microcap Growth Index Total Return GBP benchmark.