Fidelity’s fixed income portfolio manager, Ian Spreadbury, is to retire at the end of 2018, after a career spanning more than 40 years.
Spreadbury, who joined Fidelity International in 1995, is senior portfolio manager and lead manager on the MoneyBuilder Income fund, as well as the Extra Income, Flexible Bond, Strategic Bond and Short Dated Corporate Bond funds.
Prior to this, he worked at Legal & General, Sedgwick Forbes and at Duncan C Fraser.
At Fidelity, he has played a key role in growing the fixed income team’s assets under management to £65bn. Fidelity said this growth has come from its core fixed income products, including the MoneyBuilder Income Fund, as well diversification into other areas such as emerging market debt and high yield.
Spreadbury said: “I’ve managed real money for real people and it has been both a privilege and rewarding over my long career. I once said in an interview that the day you think you understand markets is the day you should retire.
“I’m not sure I can say I fully understand markets, but having managed money for more than 30 years, of which many have been here at Fidelity, I have decided that now is the right time to retire from fund management.”
Team reshuffle
Sajiv Vaid, who has worked for three years as co-manager on the MoneyBuilder Income fund, will take over as lead manager, as well as on the Extra Income funds, with the support of Peter Khan.
Kristian Atkinson will support Vaid as co-manager on the MoneyBuilder Income fund and the Short Dated Corporate Bond fund. Elsewhere, Tim Foster and Claudio Ferrarese will assume joint responsibility for the Strategic Bond fund and Fidelity Funds (Sicav) Flexible Bond fund.
Jason Hollands, managing director at Tilney, said: “Fidelity have handled this well in my view, paving the way for an eventual, orderly succession, with the recruitment of Sajiv Vaid, a well-regarded manager, from Royal London in 2015 to co-manage the Fidelity MoneyBuilder Income and Fidelity Extra Income Bond funds, while Spreadbury’s flagship Fidelity Strategic Bond has also been co-managed for some time by Claudio Ferrarese and Tim Foster who will now take over the reins.”
Hollands said this change will mean investors can expect to see continuity in management approach across these funds.
Spreadbury thanked investors for their commitment to the funds over a long period.
“We developed a consistent and disciplined investment approach, which will continue under the stewardship of Sajiv, Tim and Claudio,” he said. “I have worked alongside them for the last few years and I am confident the funds will continue to deliver under the same entrenched philosophy.”
Fidelity’s head of wholesale John Clougherty, said Spreadbury is one of the “most experienced and highly respected bond managers” in the industry.
“He has navigated his funds through the highs and lows of financial markets, delivering a consistent low-risk approach to income investing,” he said.
No surprise
Darius McDermott, managing director at Chelsea Financial Services, said the news is “not a surprise”.
McDermott said: “He has had a successful career in fixed income for four decades now and although his experience will be missed, Fidelity’s fixed income team is very strong and his succession planning has been well flagged for a number of years.”
Likewise, Ryan Hughes, head of active portfolios at AJ Bell, said news that Spreadbury is retiring at the end of the year should come as no surprise given it had been on the cards for several years.
“Succession planning clearly started three years ago with the recruitment of Sajiv Vaid from Royal London to co-manage the flagship MoneyBuilder Income fund and we have been hugely impressed at how Fidelity have handled this,” he said.
Firm AJ Bell favourite
Meanwhile, Hughes said Spreadbury’s proven consistent method and calm and considered approach, has seen the fund become a firm favourite for users of the AJ Bell platform.
He said: “The Fidelity MoneyBuilder Income fund is used across the AJ Bell Active MPS range while the Strategic Bond fund sits on our Favourite fund list.
“With such strength and depth on the fixed interest team and a clear co-manager approach, I’m confident that Fidelity will manage the transition with aplomb and see little reason to change our view on both of these high-quality fixed interest funds.”
