Square Mile awards A-Rating to three funds

Square Mile Investment Consulting & Research (Square Mile) has added the Schroder Strategic Credit, Charlemagne Capital Magna Latin American and GLG Undervalued Assets funds to its recommended list, awarding all three A-Ratings. The list, which is free for financial advisers to access, forms part of Square Mile's Academy of Funds, a dedicated section of its website showcasing Square Mile's qualitative fund research and analysis.

Funds within the Square Mile Academy of Funds are A, AA, or AAA-Rated reflecting the level of conviction Square Mile's analysts have in a fund's ability to deliver on expectations. There is an emphasis on a fund's investment outcome helping advisers ensure their recommendations are in line with clients' expectations. In addition, the Academy's "Positive Prospects" list pinpoints funds that have the potential to deliver but where the manager, strategy or process might be as yet unproven in all market conditions.

Charlemagne Capital Magna Latin American - A-Rating
Outcome: Capital Accumulation
Square Mile verdict: Amaya Assan said, "This fund benefits from the manager Ian Simmons and his team's knowledge of local markets and companies which, coupled with a strict focus on the quality of the investments and attention to valuation, could be a compelling choice for investors seeking access to the region. The investment approach and process is sensible with the whole team aiming to invest over the longer term in well-run companies that are capable of growing their earnings on a sustainable basis. We see this fund as a solid offering for long-term minded investors."

GLG Undervalued Assets Professional - A-Rating
Outcome: Capital Accumulation
Square Mile verdict: Andrew Johnston said, "Managed by Henry Dixon and team, the fund has a clear and delineated investment approach focused on uncovering out-of-favour opportunities. The manager must have high conviction in a company's recovery potential and the temperament to invest when others are fleeing. Given the contrarian nature of the process and willingness to invest in medium and smaller sized companies, this fund at times may look and act very differently to its peers and benchmark. This can lead to impressive periods of outperformance but there is also the potential for it to struggle when this investment style is out of favour. We believe this fund can complement many UK equity investment strategies and is worth considering by more benchmark agnostic investors."

Schroder Strategic Credit - A-Rating
Outcome: Income

Square Mile verdict: Victoria Hasler said, "This is a flexible, short-dated corporate bond fund run by Peter Harvey. The manager asset allocates between investment grade and high yield credit as he sees fit, resulting in an attractive income stream. Mr Harvey, who has managed the fund since its launch (under the Cazenove banner) in 2006, has proved himself adept at maintaining value over longer time periods and has created an impressive dividend profile on the fund. Whilst the yield varies somewhat depending on market conditions, the absolute value of the dividends on the fund has been remarkably consistent for most of the fund's life. We believe this is an attractive feature and makes the fund a compelling option for investors looking for a steady income stream from a corporate bond fund with limited interest rate risk."