The Vanguard Active UK Equity Fund, designed for investors seeking exposure to UK companies, which the firm says is selected by expert fund managers at a low cost opened today.
Vanguard says the new offering “blends and balances the complementary approaches of two external managers focused on identifying growing UK companies, in a fund designed to be held for the long term - more than five years”.
The Vanguard Active UK Equity Fund is sub-advised by Marathon Asset Management (50%) and Baillie Gifford (50%).
Marathon Asset Management look to identify UK companies that benefit from the flow of investments in and out of UK industries.
Baillie Gifford have a similar investment methodology, aimed at finding companies with growth potential “through in-depth research”.
The Vanguard Active UK Equity Fund aims to outperform the FTSE All-Share Index.
Robyn Laidlaw, head of UK distribution for Vanguard, said: “The Vanguard Active U.K. Equity Fund embodies the three elements Vanguard believes are crucial to giving investors the best chance of investment success: top investment talent, with a long-term approach, delivered at a low-cost
“The Fund blends the strengths and expertise of our sub-advisers, and we believe investors will benefit from the combination of two top quality firms with decades of UK investment experience, high quality portfolio management teams, and distinctive investment management approaches.
“Vanguard is a pioneer in index fund investing, however active management has been a part of our approach since our founding in 1975.”