Woodford Investment Management’s chief executive Craig Newman said the “fantastic” response was evidence investors wanted a higher-income stream in today’s economic environment.
Laith Khalaf, a senior analyst at broker Hargreaves Lansdown, said the fund’s success at launch was unsurprising given CIO Woodford’s background, low fees and focus on a higher income.
“Savers and investors have been left high and dry by low interest rates, and now people are increasingly investing their pension in retirement, the appeal of a high-income fund run by one of the UK’s best fund managers is clear.
“The savings ratio is currently at its lowest level since the 1960s, and against that background there aren’t many fund managers who could raise half a billion pounds in a matter of weeks.”
