A new investment management business called TIME Investments has launched with two funds, both of which have impressive track records.
One of the funds, the Freehold Income Trust has recently been identified by Trustnet, the fund data company, as having delivered the best risk-adjusted returns of any fund in the Investment Management Association's unit trust and OEIC universe over the last 10 years.
TIME Investments plans to launch new funds, including an addition to its range of inheritance tax mitigation services later this year.
The business is a property and tax planning investment manager that will focus its sales through the intermediary channels. It is run by former senior executives from Close Asset Management and it has recently employed seven new members for its sales and marketing team, which is headed by Russell Jarvis as Sales & Marketing Director.
Jarvis has joined TIME Investments from Octopus Investments where he was formerly Distribution Director. Jarvis is the architect and driving force behind the launch of the new distribution business, and the strengthening of its position at the forefront of the advisory retail investment market.
The new business is owned by Alpha Real Capital LLP, the co-investing institutional real estate investment manager with £1.5 billion in assets under management.
The two funds that TIME Investments will initially offer are the Freehold Income Trust (FIT), which has a 19 year unbroken track record of delivering inflation beating returns, and Capital Trading Companies (CTC), which offers advisers the opportunity to assist their clients to be eligible for 100% relief from Inheritance Tax (IHT) through Business Property Relief, after a two year qualifying period.
FIT aims to provide a secure and stable income primarily through acquiring residential freehold ground rents that offer an attractive income stream and capital growth prospects. Trustnet's research has revealed that it has delivered the best risk-adjusted returns of any fund in the Investment Management Association's unit trust and OEIC universe over the last 10 years.
The £155 million Trust has a 19 year track record of inflation beating returns. In its most recent annual results for the year ended 31 March 2012, it produced a total return of 6.02%, (up from 5.50% in the prior financial year), of which 5.26% was distributed as income.
CTC is an IHT mitigation service with in excess of £135 million of participating capital from CTC shareholders. CTC provides advisers with the opportunity for their clients to obtain full IHT relief after only two years through owning 100% of the shares in their own bespoke un-quoted company. The company then in turn participates in asset backed, Business Property Relief qualifying trading activities which seek to deliver a modest, stable return without undertaking unnecessary levels of risk.
During CTC's 16 year history, all CTC shareholdings which satisfied the qualifying criteria were successfully transferred free of IHT following the death of the original shareholder.
Nigel Ashfield is the Managing Director of TIME Investments. He is also the fund manager of FIT. He was previously Managing Director of Close Brothers' Property Division where he worked for 10 years.
Steven Oliver is Deputy Managing Director and Anthony Buckley is Operations Director of TIME Investments. Both also worked at Close Brothers' Property Division.
Nigel Ashfield, Managing Director, TIME Investments said: "This is a very exciting time to launch a new investment management business. We have a very strong management team and parent, and have two investment propositions with excellent and long-standing track records.
"In these difficult times, advisers are increasingly looking to diversify their clients' portfolios, manage their risk return characteristics and optimize their clients' tax position, so we are well positioned to meet their requirements with both FIT and CTC.
"Key to our success will be our ability to