We continue to search for the holy grail; a fund which can delivery positive returns over a 3 to 5-year time frame. This fund aims to deliver cash plus 4% before charges over a five-year period. The figures above are the net returns, the return over 5 years before charges is 4.04% which is spot on the target return. The fund itself came out of a strategy developed for an institutional client in 2004 so has a track record of over 10 years.
The fund is different from macro driven idea funds like those offered by Standard Life, Invesco and Aviva. In their view these don’t give you the ability to respond in a negative macro environment. This has been against these funds for about 18 months. Where this fund is different is that it can access a broad opportunity set and can move across this depending on their views. So, for example the fund can have a zero weighting to equities if there is negative sentiment to risk assets….read more