Fidelity and AllianzGI performance fee funds fail to attract assets

New structure

Performance fee funds launched in 2018 by Fidelity International and Allianz Global Investors have struggled to gather assets with very few investors switching to the new structure.

According to the Financial Times, nine of the 12 Fidelity funds managed less than £60,000 each by the end of last year with five of the products managing less than £4,000 each. Furthermore, the firm's most successful variable-fee fund is a global equity fund that has £36m in assets under management (AUM) while the fixed-fee share class has £2.1bn in AUM. Allianz GI, which launched five performance fee-related funds last April, had less than £30,000 in assets in three of them by the end of December while the most successful product, an emerging markets equity fund, has £400,742 in AUM....