Woodford fund captures £1.6bn from investors

THE POWER of City fund manager Neil Woodford’s reputation was on display yesterday after his new fund lured a record £1.6bn from retail investors.

The new venture, the CF Woodford Equity Income Fund, launched earlier this month and had been the highest profile launch for intermediaries ever.

The fundraise dwarfs similar high-profile launches such as the roll out of Richard Buxton’s £270m fundraise for his Old Mutual UK Alpha fund and Anthony Bolton’s Fidelity China Special Situations, which generated £650m.

Woodford, who set up Woodford Investment Management after departing Invesco Perpetual, has already invested just over £1.5bn in the stock market, including stakes in AA, Capita and Imperial Innovations.

The firm already manages a £3.65bn mandate from FTSE 100 wealth manager St James’s Place, bring the firm’s total assets under management to about £5.2bn.

Woodford said in a statement: “I have met businesses in recent weeks that have immense potential and offer fantastic investment value. My entire focus is finding companies like this that I believe can deliver long-term value to the investors that have the confidence to invest in my fund.”