Posted inHead To Head

HEAD-TO-HEAD: Henderson vs Polar Capital

FSA compares the Henderson Horizon Global Technology Fund with the Polar Capital Global Technology Fund.
by Fund Selector Asia
Fees

123456

Both funds charge an outperformance fee, in addition to their ongoing charges. They both apply a high-water mark provision to their performance fees, which means that the manager will earn the fee for outperformance of the benchmark only after recouping losses of the previous year, explained Meakin.

The Henderson fund charges a 20% outperformance fee and a 1% OCF. “While the fees vary across investment groups, 20% is toward the higher end,” commented Meakin.

The Polar Capital fund charges a 10% outperformance fee and a 1.16% OCF.

“When there’s a performance fee, we like to see that the management fee is commensurately lower,” said Meakin. Otherwise, they would fail as incentives aligning the interests of fund managers and investors, he added.

The Henderson fund shares registered for sale in Hong Kong carry a 1.88% OCF according to data from FE. The Polar Capital fund shares authorised for sale in Singapore charge 1.66% OCF.

123456

Related Stories

FSA SPY

The FSA Spy market buzz – 15 November 2024

Granny gets a shot; Capital Group on Trump trades; Neuberger Berman’s opinion; The enduring wisdom of abrdn’s Hugh Young; Things that make one go Hmmm; M&G’s bike, and much more.

Part of the Mark Allen Group.