City Financial to merge away Strategic Gilt fund

City Financial is to merge its sub-scale Strategic Gilt fund into the larger £91m Defensive Global Bond fund.

The £18m fund, managed by Ian Williams, is bottom of the IMA UK Gilts sector over three and five years as of 1 November, returning 14.4% over five compared to the sector average of 29.5%, according to Morningstar. The fund will merge with Graham Glass's Defensive Global Bond fund on 23 November. Defensive Global Bond has also struggled over recent years, sitting bottom of the IMA Global Bonds sector over five years, returning 2.3% compared to the sector average of 55.4%. The fund, which was relaunched in 2012 with a new mandate after Glass took over as manager, was renamed from the...