A number of funds that are popular among the DFMs we monitor recently announced changes to their management teams.

Three of the DFMs we cover own the Fidelity Moneybuilder Sustainable Income fund, where the lead manager Sajiv Vaid is retiring.

It’s a fixed income fund and has actually managed to pick up a net of one new buyer since the departure was announced. 

Vaid is also departing as manager of the Fidelity Moneybuilder Balanced fund, which is not owned by any of the allocators we monitor. 

The Sustainable fund has been in the eye of two not-unrelated storms in recent years, being exposed to bonds and ESG at the same time, and so it’s perhaps not surprising it has lost money over the past five years, being down 7 per cent, though it remains £1.8bn in size, having been £3.2bn in October 2020.

Fund researchers at The Adviser Centre have put Fidelity Sustainable MoneyBuilder Income on their watchlist following Vaid’s announcement - though they have not taken it off their recommended list.

They said: “Given the well-established nature of the approach, and the intention to ensure continuity of outcome, we are constructive about the fund’s prospects.  Nonetheless, Mr Vaid’s departure is a significant change for the fund and the team more broadly.”

Another fund manager leaving the industry to spend more time with his golf clubs is Jeremy Podger, who retires next year from running the Fidelity Global Special Situations fund.

That’s a product owned by one of the DFMs we monitor. It’s a £3bn fund which has underperformed relative to the market on a three and five year view.

That it underperformed during a period where value was in vogue perhaps explains why it has not gained much traction among the DFMs we cover.