Aberdeen raises initial charge on GEM funds to stem flows

Aberdeen Asset Management is to raise the initial charge on a number of emerging markets funds to 2% in order to stem inflows and avoid liquidity issues.

The group said the funds have already seen significant interest and further flows are expected, despite recent efforts to slow flows. In February last year the group said it would be taking steps to slow flows to avoid complete closure of the £3.7bn Emerging Markets fund, $15.5bn  Aberdeen Global - Emerging Markets Equity fund and $2.7bn Aberdeen Global - Emerging Markets Smaller Companies fund run by Devan Kaloo and his team. The group stopped actively marketing the funds and closed them to new segregated accounts. However, Aberdeen said this has not been effective as they had hoped ...