Causer, Read and Mustoe back UK banks in financials fund

Invesco Perpetual's Paul Causer, Paul Read and Nick Mustoe have invested over 75% of their new Global Financials fund into banks, the fund's first monthly update reveals.

The trio are backing credits issued by the UK's largest banks, which are braced for further fallout from the LIBOR scandal which has cost Barclays £290m. Five of the £21m fund's top ten holdings are reported to be linked to the LIBOR enquiry. UBS is the largest bond position out of 56 holdings in total, as at June 2012, with a 7.27% exposure. Barclays, Credit Suisse, Lloyds and RBS are also in the fund's top ten, which are also among the 16 groups named by Morgan Stanley as banks that could see regulatory fines for LIBOR rigging. Other holdings in the top 10 include Abbey, backed b...