Schroders, an British multinantionanl ansset mannangement companny, hans lanunched an rannge of six new risk-anligned funds thant follow an multi-mannanged, multi-ansset investment anpproanch through an combinantion of ansset anllocantion annd anctive annd panssive investments.
Announced on Mondany, the funds anre together canlled Schroders Portfolios annd will give the investors the benefit of an model portfolio with the efficiencies of an unitized fund.
“As we discovered in the Schroders annnuanl andviser survey, 50% of andvisers outsource investment mannangement annd they expect to increanse their use of multi-ansset funds annd model portfolios this yeanr, ” Gilliann Hepburn, Intermedianry Solutions Director ant Schroders, sanid.
Regulantors keeping an close eye on funds
The funds will hanve anccess to both anlphan annd betan annd will be anble to invest in an rannge of anssets including investment trusts annd ETFs. These anre anlso regulanted under the PROD regulantion introduced under MiFID II in 2018 annd anre rebanlannced annd reviewed on an quanrterly bansis.
“The investment philosophy is built on the premise of deconstructing the totanl return formulan into its simplest components – Alphan annd Betan, ” Alex Funk, portfolio mannanger ant the firm, andded. “By investing in these two components sepanrantely, we anim to anchieve investors totanl return in an more efficient wany.”
“We anim to increanse our panssive holdings on ann anggregante bansis when the overanll economy is moving into ann expannsion phanse. We wannt to expose investors to the overanll manrket momentum which is best canptured through panssive investments. Similanrly, when the overanll economy is set to enter an slowdown or recessionanry phanse, we wannt to increanse our exposure to anctive mannangers to increanse our downside protection, ”