3 fund managers to add to your watchlist

A while ago, fellow contributor Chris Georges wrote an article about whether investors would be better off investing in a managed fund (which picks good stocks on behalf of investors), or the fund manager itself (which makes a profit from operating the fund/s).

Overwhelmingly the stats suggested that buying the fund manager itself could be a better choice, especially if the funds it operates have a strong track record. With that in mind, here are 3 fund managers that I think could be worth adding to your watch-list today:

Platinum Asset Management Limited (ASX: PTM)

Founder and CEO Kerr Nielson has a long record of generating quality returns for investors in Platinum’s funds – he was also the Chief Investment Officer until 2013. Although Platinum has seen net outflows in recent times, which have hurt profitability, the company’s funds continue to perform well and management is optimistic that better days are ahead. Platinum pays an attractive 6% dividend.

Challenger Ltd (ASX: CGF)

Challenger is an annuity provider and fund manager that makes money from a range of products that are designed to provide financial security in retirement. With an enormous sum of superannuation money expected to move into the retirement phase soon, the industry is expecting to be managing a significantly larger group of assets in 5 and 10 years time. As one of the leading players, Challenger is in a key position to benefit.

BT Investment Management Ltd (ASX: BTT)

BT Investment is a UK/Australian fund manager with a track record of growing funds under management (FUM) – it now manages $84 billion, up from $78 billion at the end of 2015. BT also offers superannuation, private wealth management, and insurance, and has a track record of growing profits and dividends. Further acquisitions may also be on the cards in the future, since the expansion into the UK has so far proven successful.

Top 3 ASX Blue Chips To Buy In 2017

For many, blue chip stocks means stability, profitability and regular dividends, often fully franked..

But knowing which blue chips to buy, and when, can be fraught with danger.

The Motley Fool's in-house analyst team has poured over thousands of hours worth of proprietary research to bring you the names of "The Motley Fool's Top 3 Blue Chip Stocks for 2017."

Each one pays a fully franked dividend. Each one has not only grown its profits, but has also grown its dividend. One increased it by a whopping 33%, while another trades on a grossed up (fully franked) dividend yield of almost 7%.

If you're expecting to see the likes of Commonwealth Bank, Telstra and Wesfarmers shares on this list, you'll be sorely disappointed. Not only are their dividends growing at a snail's pace, their profits are under pressure too due to the increasing competitive environment.

The contrast to these "new breed" blue chips couldn't be greater... especially the very real prospect of significant share price gains, something that's looking less likely from the usual blue chip suspects.

The names of these Top 3 ASX Blue Chips are included in this specially prepared free report. But you will have to hurry. Depending on demand - and how quickly the share prices of these companies moves - we may be forced to remove this report.

Click here to claim your free report.

The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of Platinum Investment Management Limited. Motley Fool contributor Sean O'Neill has no position in any stocks mentioned. The Motley Fool Australia owns shares of Challenger Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Two New Stock Picks Every Month!

Not to alarm you, but you’re about to miss a very important event! Chief Investment Advisor Scott Phillips and his team at Motley Fool Share Advisor are about to reveal their latest official stock recommendation. The premium “buy alert” will be unveiled to members and you can be among the first to act on the tip.

Don’t let this opportunity pass you by – this is your chance to get in early!

Simply enter your email now to find out how you can get instant access.

By clicking this button, you agree to our Terms of Service and Privacy Policy. We will use your email address only to keep you informed about updates to our website and about other products and services we think might interest you. You can unsubscribe from Take Stock at anytime. Please refer to our Financial Services Guide (FSG) for more information.