This was our first introduction to the strategy. The key message for this fund is that it allows investors access to a sustainable strategy using a multi asset approach. By that they mean they select different assets to build the portfolio, whether that be equities or bonds (government or corporate debt). Currently the fund only invests in funds, but it hopes that as the assets grow they will also look at other assets, including investment trusts and directly into green bonds.
The fund is targeting a return of 5 to 7.5% per annum with volatility below 10%. The strategy came from their old Ethical Fund which has been re-aligned with their discretionary fund. This was concluded this year. In terms of comparing performance, they don’t see this as a comparison against global funds due to its fixed income (debt) element. For this exercise we have used our balanced strategy to provide some comparison.
To some extent there is some similarity in that they are built from other investment funds. Our strategy uses investment trusts and is slightly more volatile. It is also important to understand that the updated Verus Fund only started in 2021 but it does provide some insight as to what we should expect going forward….read more