Fitch Ratings says in a new report that active multi-asset managers will be under pressure to demonstrate their dynamic asset allocation skills in 2015. Few flexible multi-asset funds managed to fulfil their objectives last year.
Today's launch represents one of the industry's first UCITS advanced beta multi-factor funds combining three factors: low valuation, low volatility and high quality. All three strategies demonstrate increased risk-adjusted returns over a long-term investment horizon when compared to the MSCI World index.
Bill Gross is managing the global macro-driven bond fund, acting on his highest conviction ideas in order to generate positive returns and fixed income diversification, while navigating ever-changing market conditions in the global economy.
The investment approach of the Fund enables the manager to invest directly across asset classes, principally in global equities and bonds. The Fund may also invest up to 10% in other Threadneedle funds and uses derivatives for investment purposes and hedging, including the generation of additional income.
Ask any active fund manager about his benchmark, and he
will have a ready-made answer. Even fixed-income managers
have plenty of indices to choose from. The call is trickier for diversified fund managers...