Hargreaves Lansdown rolls out first US equity strategy

The fund will begin trading on 1 November

Thomas Wells, fund manager Hargreaves Lansdown

Retail investors interested in the US equity market will shortly have another fund available to them after Hargreaves Lansdown launches its HL US fund.

A spokesperson confirmed to Portfolio Adviser that the actively managed, segregated mandate fund is Hargreaves’ first US-focused strategy.

It will officially go live on 1 November, with investors able to buy in at £1 per fund unit until 23:59 on 31 October. The minimum investment is a lump sum of £100, or £25 by direct debit.

Investors will pay an ongoing charges figure of 83bps, plus a platform charge of 45bps.

It is aimed at more experienced investors who are “comfortable building their own portfolio” and are also looking for long-term growth, Hargreaves added.

According to the HL US factsheet, at least 80% of the fund will be invested in shares of companies which are incorporated, domiciled or listed in the US. Up to 20% can be invested in non-US companies, bonds, other transferable securities, money market instruments, deposits, warrants and cash. A maximum of 15% of its assets can be invested via other collective investment schemes.

The fund will be managed by four external managers, two of which follow growth strategies, while the others adopt value approaches. They will be overseen by a trio of Hargreaves fund managers.

One of whom is Thomas Wells (pictured), who said: “Every investor should invest in the US as part of a diversified portfolio. […] It’s the world’s biggest economy and home to some of the globe’s largest companies.

“We’re partnering with a team of external fund managers, who are working at some of the largest fund groups and each with their own area of expertise. They have been hand-picked by HL’s experts – aiming to offer the best potential for long-term performance.”

Wells will be joined by Roger Clark, co-manager of the HL Multi-Manager European, HL Multi-Manager Asia & Emerging Markets, and HL Multi-Manager UK Growth funds; alongside Ziad Gergi, who is jointly responsible for managing the HL Multi-Manager Balanced Managed Trust, the HL Multi-Manager Equity & Bond Trust and the HL Multi-Manager Special Situations Trust.

The HL US fund is the second of 19 planned launches, as Hargreaves seeks to expand its breadth of solutions. The first was the HL Growth Fund, which went live in December 2021 and is down more than 10% over the past six months.

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