Plus, PIMCO's new fund, Morgan Stanley's mortgage-bond team shakeup, and more.
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AllianceBernstein has announced significant changes at its growth funds.
The nearly $1 billion in assets large-growth offering AllianceBernstein Growth will become an analyst-driven fund focused on domestic growth stocks. The firm's sector analysts will recommend picks for the portfolio that will be reviewed by a portfolio oversight group including Lisa Shalett, the firm's global head of growth equities; Vadim Zlotnikov, CIO of growth equities; Scott Wallace, a senior member of the firm's large-cap growth team that runs AllianceBernstein Large Cap Growth
The $560 million AllianceBernstein Mid-Cap Growth will become a less aggressive small- and mid-cap growth fund and will change its name to AllianceBernstein Small/Mid Cap Growth. The firm's small/mid-cap growth team, which also runs AllianceBernstein Small Cap Growth
Wood will still have a vehicle for her potent mix of macro and micro investing, though. The firm will give her the $1.3 billion in assets AllianceBernstein Global Technology and turn it into a wide-ranging fund called AllianceBernstein Global Thematic Growth. Instead of keeping at least 80% of the fund's net assets in tech companies, the fund will use Wood's combination of top-down thematic research and fundamental analysis to invest opportunistically across sectors and regions. The fund will invest in 60 to 80 companies and will use the MSCI All Country Index as its benchmark. It will focus on companies fostering and benefiting from technological change. Wood will be joined by former Mid Cap Growth team member Amy Raskin, as well as the firm's former Japan analyst Stephen Tong; director of global economic research on fixed income Joseph Carson; and Shalett; and Zlotnikov. The $100 million in AllianceBernstein Global Health Care also will merge with Global Thematic Growth, largely because the firm has decided that it is hard for investors to achieve good results with sector funds. Global Health Care's longtime manager, Norman Fidel, also is retiring.
The AllianceBernstein Global Research Growth
Last but not least, the firm will allow its global and international funds to go beyond traditional currency hedging. The funds will be able to make small active currency bets in the future. The managers will be able to take long and short positions in currencies and invest in currency-related derivatives, according to filings.