Columbia Threadneedle Investments has unveiled plans to introduce a Luxembourg-domiciled offshore version of its UK equity income fund.
The new Threadneedle (Lux) UK Equity Income fund will mirror the £3.4bn onshore UK version that is managed by Richard Colwell and holds 45 to 60 positions in UK-domiciled companies.
"The ultra-low rate environment and an ageing population means that income remains a priority for many investors, whether they need dividends to help fund their living expenses or because regular cash payments are reinvested to bolster returns. I am very pleased that we will now be able to offer our offshore clients our successful UK Equity Income strategy," Colwell stated.
The offshore fund will be based on a Sicav structure, and will be available to investors from October 2016.
Columbia Threadneedle head of wholesale for EMEA Gary Collins said: “The fund is being launched in response to strong demand from overseas investors to access our market-leading UK equity income franchise which until now we have not been able to offer.
"A Sicav structure provides us with a vehicle to broaden our distribution and give investors access to an established and market-leading investment team.”