More than one-tenth of the funds in the Investment Management Association (IMA) sectors breached the sectors' definitions in 2009, it has been confirmed.
Despite this, a majority corrected these breaches shortly after they were discovered, fundstrategy.co.uk has reported.
According to Jane Lowe, the director of markets at the IMA, some 234 funds breached the rules as revealed by their monthly data submissions.
The sectors contained 2,409 funds at the end of August.
Meanwhile, it was confirmed recently that the UK economy grew by 0.8 per cent during the third quarter.
Despite this, Jeremy Tigue, manager of the Foreign and Colonial Investment Trust, warned Britons not to read too much into positive news in only one quarter.
"What it does mean is that the deflationary forces are not quite as strong as expected so there may be more inflation which will perhaps make any further quantitative easing, 'QE2', more difficult to justify - which is why bonds and equities went down on what should be seen as good news," he remarked.
Mr Tigue also downplayed fears of the economy suffering a double-dip.
One in ten investment funds breached sector rules
One in ten investment funds breached sector rules
Tue, 02 Nov 2010
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