LONDON, Nov 12 (Reuters) - A global securities fund run by troubled Invista Real Estate Investment Management has been shut, amid uncertainties about the future of the manager and continued turmoil in the funds management industry. Invista, the funds firm 55 percent owned by Lloyds, is closing its Global Securities Fund, valued at 11.3 million pounds ($18.13 million) at end-June, two sources said on Friday, weeks after the manager lost some of its largest customers. One of the sources familiar with the situation told Reuters the company had decided to shut down the fund "due to its corporate uncertainties". The fund is managed by Robert Promisel, who joined Invista from U.S.
manager Adelante Capital Management after launching its Global Property Securities Fund. Invista declined to comment when contacted. At 1400 GMT, the company's shares were unchanged at 39 pence each. Earlier this week, crisis-hit fund manager Gartmore said it was talks that could lead to a merger or sale as star manager Roger Guy becomes the latest key figure to leave the embattled company. Invista started the fund with 10 million pounds of its own money in Sept.
2008, just before the collapse of Lehman Brothers an the onset of the global financial crisis. It was planning to seek investments from the public after a track record in managing property stocks had been established, Promisel told Reuters late last year. Based on the fund's mid-2010 valuation, it returned about 13 percent over the course of 21 months, far outstripping its benchmark EPRA/NAREIT Global Real Estate index, which has declined 23 percent over the period. On Oct. 12, the company said part-nationalised Lloyds Banking Group had terminated Invista's contract to manage a 2.4 billion-pound HBOS fund, which Invista CEO Duncan Owen said could lead to a disposal of the funds manager. Owen said then that assets on the company's balance sheet such as co-investments would be sold over the next year, with the capital returned to shareholders, leaving an asset manager that could be subject to a takeover. The HBOS funds represent nearly half of Invista's 5.4 billion pounds of total assets under management, and had contributed about 39 percent of its revenues in the first half. Three weeks later it said it had lost another major mandate from Northern Trust Fiduciary Services and Arnold Limited, which are trustees of a Invista-managed portfolio with 272 million pounds of residential assets. (Reporting by Sinead Cruise and Daryl Loo; Editing by Douwe Miedema and Andrew Macdonald) ($1=.6232 Pound) (See www.reutersrealestate.com for the global service for real estate professionals from Reuters) ($1=.6232 Ency $ Rate Dec.Pos) Keywords: INVISTA FUND/ (firstname.lastname@example.org; +44 (0)207 542 5154; Reuters Messaging: email@example.com) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved.
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