Analysts at Square Mile Investment Consulting and Research (Square Mile) conducted 50 interviews with investment professionals from 34 asset management groups during April 2025. Based on the intelligence gained during these meetings and in light of recent corporate announcements, the following actions have been taken:
New ratings
CT Universal Multi Asset Portfolios (MAP) awarded Recommended ratings
Square Mile has awarded the CT Universal Multi Asset Portfolios (MAP) Defensive, Cautious, Balanced, Growth and Adventurous funds with Recommended ratings. This range of five growth-orientated funds are risk focused, actively managed and attractively priced. Square Mile’s analysts believe that these funds benefit from the breadth of Columbia Threadneedle’s well-regarded investment teams and represent a robust range for clients seeking low-cost, actively managed multi-asset funds with a bias toward UK equities. (Decision as at 03.04.25)
abrdn Asia Pacific ex-Japan Equity Tracker fund awarded Recommended rating
Square Mile’s team of analysts have introduced the abrdn Asia Pacific ex-Japan Equity Tracker fund into the academy with a Recommended rating. The fund tracks the MSCI AC Asia Pacific ex-Japan Index, offering investors exposure to large and mid-cap stocks across both developed and emerging markets within the Asia Pacific ex-Japan region. The analysts note that due to the prominence of emerging countries in the region the index bears a closer resemblance to a global emerging markets index than a developed market index from the same region, with large weightings in China, India and Taiwan.
The fund is managed by abrdn’s Quantitative Index Solutions team. Although smaller than some of its peers, the team has significant experience in running index strategies and Square Mile’s analysts believe they have the necessary resources to achieve good tracking outcomes, as demonstrated historically. Additionally, the fund is competitively priced, offering good value for money to investors looking to invest in the region. (Decision as at 16.04.25)
Jupiter UK Income fund awarded A rating
Square Mile’s analysts have introduced the Jupiter UK Income fund into the Academy of Funds with an A rating. Managed by Adrian Gosden and Chris Morrison, the overarching philosophy underpinning the strategy is that dividends are an important driver of total equity returns over the long term. With this focus in mind, the investment approach has been designed to identify stable, cash generative companies that can pay strong and progressive dividends. The analysts view this as a solid option for investors seeking exposure to a relatively high conviction portfolio of income generating stocks, managed by a highly capable investment duo in Mr Gosden and Mr Morrison. (Decision as at 22.04.25)
Regnan Sustainable Water & Waste fund awarded Responsible A rating
Square Mile confirms that the Regnan Sustainable Water & Waste fund has been awarded a Responsible A rating and it enters the Academy of Funds. This fund is focused on investing in companies that bring solutions to global water and waste environmental challenges. Square Mile’s analysts believe it represents a compelling proposition for the Academy and is driven by a durable thematic tailwind, a stable investment process and highly experienced fund managers. (Decision as at 23.04.25)
Ratings retained
BlackRock European Absolute Alpha fund retains AA rating
Square Mile’s analysts reviewed the AA rating held by the BlackRock European Absolute Alpha fund on the news that Stephanie Bothwell, the fund’s co-manager, had left the business. Chris Sykes has been promoted to co-manager alongside Stefan Gries, a named co-manager of the fund since 2013. Although not previously a named manager, Mr Sykes has been involved with the strategy since at least 2019 and worked closely with David Tovey, who himself was Ms Bothwell’s predecessor. Mr Gries remains a constant and the analysts are confident that Mr Sykes is a first-rate replacement for Ms Bothwell. Square Mile is therefore comfortable in retaining the fund’s AA rating. (Decision as at 24.04.25)
Aviva Investors MAF Core range retain Recommended ratings
Square Mile’s analysts have maintained their Recommended rating held by AI MAF Core range of funds despite the news of Baylee Wakefield’s departure from Aviva Investors (AI). Ms. Wakefield was appointed co-manager of the funds in July 2024 alongside Sotirios Nakos. Mr. Nakos will continue in his role, with interim support from Dean Cook, ensuring continuity in the day-to-day management of the funds. The funds are managed on a strategic basis with the process driven by the broader multi-asset team. Therefore, the analysts believe that the impact of Ms. Wakefield’s departure on the fund range is likely to be minimal and so are happy to maintain its Recommended rating. (Decision as at 23.04.25)
FP Wheb Sustainability Impact fund retains Responsible AA rating
In March 2025, the FP WHEB Sustainability Impact fund, a Responsible AA-rated fund, dropped the MSCI World Index as its comparator benchmark. This was due to the portfolio’s specialist sustainability characteristics which result in it having a materially different composition to this broad-based index. There have been no changes to the fund’s management, and in its public materials, WHEB continues to offer comparison indices to provide context for returns, since investors may wish to see how the fund compares to an unconstrained index or against cash rates.
Square Mile’s analysts are aware of the difficulties that a fund such as this can have when compared to broad market indices, particularly when market leadership is concentrated in stocks that it cannot or will not own and they respect and understand WHEB’s decision. Nonetheless, the analysts still believe that is reasonable for investors to expect that the fund should compete against the broader market over the long-term. As a result, they have not changed their expected outcome of outperformance relative to the MSCI World Index on a rolling five-year basis. (Decision as at 02.04.25)
Downgraded ratings
Veritas Asian fund downgraded to A rating
Square Mile recognises that the Veritas Asian fund has experienced a challenging period of performance over recent years. Whilst the analysts continue to believe it to be a differentiated and attractive strategy and acknowledge that the broader market environment has not been helpful, they feel an A rating is more reflective of their current level of conviction in the fund. (Decision as at 23.04.25)
Baillie Gifford Global Alpha Growth Fund and Monks Investment Trust downgraded to A rating
Square Mile’s analysts have downgraded their rating on the Baillie Gifford Global Alpha Growth Fund and Monks Investment Trust, its closed-ended equivalent, from AA to A. The performance of the two strategies has seen challenges over recent years, and the managers have made some adjustments to the process as a result. The analysts feel that these have not yet addressed the issue and believe that an A rating better reflects their current conviction in the funds. (Decision as at 09.04.25)
Ratings removed
Federated Hermes Impact Opportunities fund loses Responsible A rating
Square Mile has removed the Responsible A rating of the Federated Hermes Impact Opportunities fund following a period of underperformance with the fund facing multiple headwinds due to its inherent impact biases.
Although the fund has struggled to deliver its Square Mile Expected Outcome (outperforming the MSCI AC World IMI Index by 2%-3% p.a.), the analysts believe that it is commendable that the fund managers remain true to the fund’s impact approach. Nonetheless, in an environment where positive investor sentiment and flows into the fund have dissipated, they do not see a catalyst that would provide renewed buoyancy to this proposition. (Decision as at 28.04.25)
Baring EMD Blended Total Return fund loses A rating
On the news that Ricardo Adrogué, Head of Global Sovereign Debt and Currencies, is to retire at the end of August 2025, Square Mile’s analysts have made the decision to remove the Baring EMD Blended Total Return fund’s A rating. Despite the resources within the firm’s Emerging Markets Debt team, they have always considered Mr Adrogué as a key figure for the fund as head of the team, architect of the strategy and lead manager of the local currency element of the portfolio.
Square Mile would like to take this opportunity to congratulate Mr Adrogué on his long and successful career and wish him all the best in his retirement. (Decision as at 08.04.25)
Unicorn UK Income and Unicorn UK Ethical Income funds lose A and Responsible A ratings
Square Mile has taken the difficult decision to remove the respective A and Responsible A ratings of both the Unicorn UK Income and Unicorn UK Ethical Income funds. This comes after a detailed review of both strategies and whilst Square Mile’s analysts acknowledge the tough environment for UK small and mid-cap investors over recent years, the return profile of both funds has not been in line with expectations. Consequently, the analysts’ conviction has waned to a level where they feel they can no longer support the funds’ inclusion within the Academy. (Decision as at 04.04.25)
SVM UK Opportunities fund loses A rating
Following a review of the UK All Companies sector, Square Mile’s analysts have decided to remove the A rating of the SVM UK Opportunities fund. They have followed the long-tenured fund manager Neil Veitch over many years, and so this is not a decision that they have made lightly but it in part reflects the diminishing investor interest for UK actively managed equities over recent years. In addition, whilst acknowledging the tough environment for UK equity strategies that invest across the market cap spectrum, the analysts have concerns over the fund’s medium-term return profile within what is a competitive landscape. Consequently, their conviction has deteriorated to a point where they feel they can no longer support the fund’s rating. (Decision as at 03.04.25)
