Old Mutual Global Investors has restructured the Skandia US All Cap Value Fund as the Old Mutual US Dividend Fund. The fund is sub-advised by US value fund manager Barrow, Hanley, Mewhinney & Strauss, which is an affiliate of the Old Mutual Group.
The fund, which is a sub-fund of the Dublin-domiciled Old Mutual Global Investors Series plc, bets on large capitalization US stocks and is benchmarked to the Russell 1000 Value Index and S&P 500 Index. Its lead portfolio manager of the Fund is Ray Nixon.
“Currently, US companies have record levels of cash but are paying out historically low amounts in the form of dividends,” stated Nixon. “Consequently, those companies that are paying increased dividends to shareholders recently have been rewarded by outperforming share prices – not surprising in a low interest environment where dividend income is highly valued by investors.”