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Rekenthaler Report

Anarchy in the U.K.

Active management's dangerous infatuation with private-placement securities.

Falling Star
No, I don’t mean Brexit, although that certainly qualifies. I refer instead to the astonishing collapse of Neil Woodford’s organization.

Britain’s best known stock-fund manager (some would claim Anthony Bolton but Morningstar’s Holly Black dissents, and that’s good enough for me) left Invesco in 2014 to form his own company. Thanks to his previous fund’s outstanding 26-year record, Woodford raised almost GBP 2 billion during this first two weeks at the helm. That amount would eventually become GBP 10 billion.