S&P reinstates MIR’s five star rating

MIR Investment Management’s equity funds, which were placed on hold by Standard & Poor’s (S&P) in May due to organisational and personnel changes, have had their five star ratings reinstituted.

These comprise the MIR Australian Equities Fund, MIR Australian Emerging Opportunities Fund, Advance Concentrated Australian Share Fund.

The on hold rating was largely prompted by the departure of head of the qualitative investment team, Owen Evans.

S&P fund analyst Ken Ostergaard said: “At this stage, we are comfortable with the continuity of MIR’s investment process, and although a change to an investment team warrants some caution, MIR’s investment structure mitigates key personnel risk.”

Andrew Beirne, formerly with ING, has now filled Owens role.

Ostergaard said: “MIR has implemented a somewhat uncommon investment structure, which is a combination of quantitative and qualitative analysis, supported by extensive academic research, and executed by well-resourced quantitative and qualitative investment teams.

“Our focus on this occasion was the qualitative team and, although the departure of Mr Evans is relatively significant, MIR has been able to attract another high-calibre individual in Mr Beirne.”

MIR’s Absolute Return Fund, rated four stars, and the Advance multi-manager small cap product, for which MIR is one of three boutique managers, were not impacted by the on hold rating.

Another full review of all MIR funds will take place shortly, during S&P’s annual Australian equity sector review.