Standard Life Investments launches Enhanced-Diversification Multi-Asset Fund
22 September 2016
Standard Life Investments, the global investment manager, has launched the Enhanced-Diversification Multi-Asset Fund (EDMA) in response to a growing client demand for multi-asset growth funds that manage downside risk.
EDMA is part of our multi-asset range for investors who want to balance capital growth against volatility in financial markets. With EDMA, we aim to generate equity-type returns over the market cycle (typically five to seven years in duration) but with only two-thirds of equity market risk.
Guy Stern, Head of Multi-Asset Investing explained “The Fund differs from many traditional multi-asset growth approaches. EDMA holds a range of market return investments (such as equities, bonds and listed real estate); however, we also use enhanced-diversification strategies which seek to provide additional sources of return and high levels of portfolio diversification.
“By taking relative value positions as well as making investments in the currency and interest rate markets, we can develop risk relationships that are quite different from traditional investments. These types of investments are valuable when constructing a diversified multi-asset portfolio as we would expect them to limit downside risk during market falls.”
EDMA is co-managed by Jason Hepner, Scott Smith and James Esland and benefits from the expertise of our established and award-winning multi-asset investing team. The Fund is a Luxembourg registered SICAV and is a sister fund to the Enhanced-Diversification Growth Fund OEIC launched in November 2013.