The new fund will be managed by Neil Madden, a nine-year veteran of the company.
A spokesperson for Fidelity says the new fund will seek to pick cheap and disliked stocks with improving fundamentals and identify stocks with an asymmetric return profile. It will put as much money as possible into stocks with low relative downside and high relative upside.
“Neil’s starting point is cheap and disliked stocks,” the company says. “New ideas in his fund are often stocks that have major problems and most of the market is currently steering away from. He finds these by either using a simple screen to filter out the cheapest and most disliked stocks in the market, or through feedback from our investment team.”
Madden spent four years as an equity analyst and three years as assistant portfolio manager on Fidelity European Growth. Since November 2009, he has been a portfolio manager, with a value tilt, on the pan-European equity sleeve of FIF International Fund, an Oeic fund managed by Richard Skelt.
