Standard Life Investments combines Macro And Micro investment opportunities
17 March 2014
Standard Life Investments, the global fund manager, has announced the launch of Global Focused Strategies (GFS) an absolute return portfolio that aims to generate high, positive returns irrespective of market conditions. Available for institutional investors, GFS targets a return of cash* +7.5% per annum over rolling three-year periods. It is expected that this return will be delivered with between 6% to 12% volatility.
GFS is managed by Standard Life Investments’ award winning multi-asset investing team, using the established investment platform and risk infrastructure that underpins the Global Absolute Return Strategies and Absolute Return Global Bond Strategies portfolios. This infrastructure supports the construction of a diverse portfolio, with the result that GFS can perform well in a wide range of conditions and is resilient to stress scenarios.
Commenting on the launch, Guy Stern, Head of Multi-Asset and Macro Investing, Standard Life Investments, said:
“Standard Life Investments continues to develop innovative investment strategies to meet global client needs. GFS is an advanced fusion of our macro and micro capabilities, underpinned by our team-based approach and multi-asset risk and portfolio management expertise. It benefits directly from the experience and insights of our equity, fixed income, real estate and money market specialists. This allows GFS to fully exploit our investment views to enhance portfolio efficiency.
“Operating with broad investment freedom within rigorous risk controls, GFS invests actively within and between all major asset classes and across the corporate capital structure. It can also make extensive use of derivatives to implement positions and mitigate risk. This allows GFS to access an exceptionally diverse array of strategies, so it can generate positive returns irrespective of the economic environment.”
GFS was launched in December 2013 with international support totalling €110m. Clients include pension funds and discretionary wealth managers from three countries. It is a Luxembourg SICAV with share classes in multiple currencies. It is accessible and priced daily with no notice-period and has a flat fee of 1.2% per annum, with no performance-related component.
*Cash is defined as: UK: 6-month LIBOR; Switzerland: 6-month CHF LIBOR; US: 6-month US LIBOR, Canada: 6-month CIDOR; Europe: 6-month EURIBOR; Australia: UBS Bank Bill; New Zealand: 180-Day Bank Bill; Singapore: S$ LIBOR.