Fund Rating Removals and Suspensions for Kames Capital funds

Following this morning's announcement of Stephen Snowden's (co-head of fixed income) departure from Kames Capital, along with three further managers in the Kames Capital Fixed Income team, Juan Valenzuela, David Ennett and Stephen Baines, we have removed our rating from the following three funds:

Kames Investment Grade Bond
Kames Sterling Corporate Bond
Kames Ethical Corporate Bond

The changes to the fixed income team at Kames Capital have been significant over the last 18 months, with at least 9 key departures. Whilst there are still some very good investors on the team, we are cognisant that the business now faces the considerable task of rebuilding their fixed income team, both managers and credit analysts, whilst maintaining their investment process.

We are also suspending our ratings on the following multi-asset funds given they all make use of the Kames Fixed Income capability to varying degrees.

Kames Ethical Cautious Managed
Kames Diversified Growth
Kames Diversified Monthly Income

We will be reviewing the impact on these three funds in more detail, in the context of each of their mandates.