Capital Group continues European push with New World UCITS launch

Third Luxembourg-domiciled vehicle

US fund giant Capital Group has continued its expansion into Europe with the launch of a UCITS version of its $26bn emerging markets-focused New World strategy.

The firm, which is responsible for $1.4trn in AUM, will launch the strategy as a Luxembourg-domiciled UCITS in October, using the same investment approach as its US counterpart. This strategy, which was launched in the US in 1999, is managed with a domicile-agnostic approach which attempts to capture the growth potential of developing economies, combining local EM businesses with global multi-nationals benefitting from EM growth. It has achieved a return of 7.4% per annum over its lifetime, according to the group. The fund is the third to be launched under an initiative announced i...