abrdn to merge GARS into diversified asset funds

investmentweek.co.uk:

GARS is one of three strategies affected by the review, with the remaining two set to close later this year.

Following a strategic review led by Russell Barlow, who has been promoted to head of multi-asset and alternative investment solutions, the fund manager has decided to create a simplified multi-asset solution franchise.

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GARS is one of three strategies affected by the review, as the two other liability aware absolute return funds will be closed later this year, abrdn explained.

GARS was launched in 2008 under the Standard Life Investments umbrella and at its peak in May 2016 held £26.8bn in assets. But AUM has significantly dropped since then, totalling £857m as of the end of June 2023, according to data from Morningstar Direct.

Performance has also suffered, with the fund consistently underperforming its benchmark over the last five years, according to data from FE fundinfo.

Barlow said: «My focus during the strategic review was to clarify roles, reduce inefficiency and increase collaboration ensuring we deliver the best outcomes possible for our clients.

»The new structure simplifies our processes and facilitates a greater comparison of opportunities across asset classes rather than being focused on research within single asset classes and products. I am confident this approach is best suited to the needs of our clients in delivering strong performance outcomes across a more relevant product range."

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Peter Branner, CIO of abrdn, added: «Russell has done a thorough job of creating an offering that will enable us to work together to bring the results our clients need today whilst being ready for