Austock funds lose Morningstar recommendation
Researcher Morningstar has withdrawn its recommendations from Austock Asset Management’s
Australian equities funds, following the announcement by Austock of a rationalisation of its investment management operations.
Senior research analyst Chris Douglas said the rationalisation, which has seen four key investment team members depart since September 19, has resulted in a “greatly diminished asset management capability”.
“The process is now appreciably weaker and after such substantial change, there is no longer an investment case for remaining.
“We therefore recommend investors in Austock’s Australian equities funds reconsider their options,” he said.
Austock portfolio manager Silvio Gasparet resigned on September 19, while investment manager Stuart Larke, equity analyst Wesley Nation and investment manager Adam Scully have been made redundant.
Managing director Alan Sheen will take over day-to-day responsibility of the Australian equities portfolio, which, according to Morningstar, totals “only $60 million in assets”.
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