Head of ATI fixed income quits as fund closes

Rod Davidson, Alliance Trust Investment’s head of fixed income, is to leave the asset manager as it closes its Dynamic Bond fund.

The announcement ends Mr Davidson’s five years at the Dundee-based business.

He will be replaced by Stuart Steven.

Alliance Trust Investments will also close its Dynamic Bond fund after the assets in the fund dropped in size to £4m, following Alliance Trust redeeming around £10m from the fund. Earlier this year Alliance Trust revealed it was reducing its fixed income holdings.

An Alliance Trust Investments spokesperson said: “Absent the trust’s investment, the Dynamic Bond Fund reduced in size to just over £4m and has therefore been deemed no longer economically viable.”

The fund will close on 25 February 2016, following FCA approval.

Alliance Trust Investments says the closure will not impact the Monthly Income Bond Fund and the Sustainable Future Corporate Bond Fund, which “continue to perform strongly and attract capital”.