31 October 1999

Keeping tabs on technology
By Stephen Womack

Two specialised indicies will be launched this week for investors who want to gamble on a high-technology future.

From Thursday, the FTSE Techmark 100 and FTSE Techmark All-Share will measure the fortunes of technology companies listed on the Stock Exchange.

The Techmark All-Share incorporates 170 listed companies that trade in the technology sector, including telecoms, computing, software, pharmaceuticals and bio-technology firms. These range from giants such as BT to companies worth just £30 million.

Those listed on the Alternative Investment Market are excluded.Techmark 100 is more specialised. It includes the biggest 100 companies worth less than £4 billion.

Stock Exchange rules are also being relaxed to allow new companies to join Techmark more easily.

The indicies will allow investors and fund managers to judge the growth in technology shares and to measure their own performance.

Close Fund Management is wasting no time by launching an index-tracking unit trust this week that will aim to mimic the performance of the Techmark 100.

Managing director, Marc Gordon said, "The feedback from many investors shows that people want to invest in UK high-tech firms, not American ones."

"They reckon shares are valued more realistically here."

The Close fund starts up on Thursday. It has an initial charge of 4.75%, discounted to 3.5% for those who invest by Thursday, and annual fees of 1.15%. The minimum investment is £1,000 or £100 per month.

The fund is available through an ISA. It is the only technology fund to qualify for transfers from Peps because it invests only in the UK.

Close Brothers 0800 269 824