Nedgroup Investments has continued to see strong growth in its Global Equity Fund which has contributed to a significant boost in funds under management and advice in the first quarter.

The momentum of the fund, which gathered pace in the second half of 2011, continued during the first quarter of 2012, reaching a total of US$520 million by the end of March.

Net flows across Nedgroup’s entire fund range during the period were US$103 million, adding to a further substantial increase in overall funds under management and advice now standing at US$1.5 billion. The figure first broke the US$1 billion barrier during the third quarter of 2011.

The Global Equity Fund is domiciled in the Isle of Man, managed by Nedgroup Investments, the international asset management subsidiary of Nedbank and has seen significant in-flows, whilst many competitor offerings have not fared as well. 

Investors too have enjoyed success, for the 12 months ending 31 March 2012 with the fund producing a return of 5.1%, whilst Global Equity Markets as a whole have only grown by 1.14% as measured by the MSCI World Equity Index.

Nedgroup Investments Managing Director Andrew Lodge said the figures reflected an increase in investor confidence. “The Global Equity Fund has been the number one performing fund in South Africa and has had a fantastic first quarter to the year. It is one of the best quarters ever for Nedgroup Investments.

“It’s very pleasing to see that the momentum which gathered during last year has continued and that investors looking long-term at their investment strategies have been rewarded. It indicates that investor confidence is returning and we see a very positive future for our funds business.

Meanwhile, Nedbank, the parent of Nedgroup Investments, has also seen very positive results during the last financial year with recently released figures showing an increase of 25% in pre-tax profit to £755 million, compared to £601 million in 2010