Monday, April 18, 2016
GAM launches next generation of multi asset solutions with target return range
- Dynamic, multi asset funds seeking to produce consistent, uncorrelated net returns of Libor +3% pa and Libor +5% pa regardless of market environment
- Investment in direct securities portfolios of circa 20-30 global equities, bonds, currencies and commodities trade ideas
- Sophisticated factor analytics, quantitative modelling and stress testing used for risk-driven portfolio construction.
GAM, the independent active manager, has extended its range of multi asset solutions with the launch of the GAM Star Target Return funds, managed under the leadership of Larry Hatheway, Group Head of Multi Asset Portfolio Solutions and Chief Economist.
The new multi asset funds harness an unconstrained set of global trade ideas, executed through a variety of relative value and long allocations to both traditional and non-traditional asset classes. The GAM Star Target Return Fund and GAM Star Target Return Plus Fund aim to deliver consistent returns of Libor +3% and +5% per annum, respectively, without significant equity, duration or credit risk.
Targeting wholesale intermediary and institutional clients, the new range provides investors with access to investments designed to deliver steady capital appreciation independent of broader market direction. Typically the funds will hold circa 20-30 global positions.
The Target Return team of eight investment managers and risk managers are supported by a further 11 investment professionals from GAM’s specialist Multi Asset Class Solutions (MACS) team based across London, Zurich and Milan. With USD 11.9 billion assets under management, the MACS team has extensive expertise across the full range of available asset classes.
The team’s rigorous three step investment process involves developing trade ideas that capture macro drivers, market anomalies, themes and technicals, followed by disciplined factor-based portfolio construction, with ongoing portfolio and risk management through in-depth factor attribution and stress testing.
Larry Hatheway said: “GAM has been managing multi asset solutions since 1983 and the launch of the target return range is an expansion of our long-standing experience investing across asset classes for private clients and institutions.”
“Target return products can offer an attractive alternative to bonds while minimising duration and credit risk. Investors are increasingly turning to outcome focused investment solutions that provide diversification to traditional asset allocation. We anticipate strong demand for these new solutions.”
GAM Star Target Return is currently registered for sale in Austria, Belgium, Denmark, Finland, France, Germany, Italy, Ireland, Liechtenstein, Luxembourg, Netherlands, Norway, Spain, Switzerland and the UK. GAM Star Target Return Plus is currently registered in Germany and Ireland.
T: +44 (0) 20 3697 4200
GAM is one of the world’s leading independent, pure-play asset managers. It provides active investment solutions and products for institutions, financial intermediaries and private investors, under two brands: GAM and Julius Baer Funds. The core investment business is complemented by private labelling services, which include management company and other support services to third-party institutions. GAM employs over 1,000 people in 11 countries with investment centres in London, Zurich, Hong Kong, New York, Lugano and Milan. The investment managers are supported by an extensive global distribution network.
Headquartered in Zurich, GAM is listed on the SIX Swiss Exchange and is a component of the Swiss Market Index Mid (SMIM) with the symbol ‘GAM’. The Group has assets under management of CHF 119.0 billion (USD 118.9 billion)*.
* Source: GAM. Data as at 31 December 2015.
The information in this document is given for information purposes only and does not qualify as investment advice. Opinions and assessments contained in this document may change and reflect GAM Group’s point of view in the current economic environment. No liability shall be accepted for the accuracy and completeness of the information. Past performance is not an indicator of current or future performance. Investments should be made only after thorough reading of the current statutory prospectus and/or the fund regulations, the KIID, the articles of association and the current annual and semi-annual report and following advice from an independent finance and tax specialist.
This article may mention sub-funds of GAM Star Fund p.l.c., registered office at George’s Court, 54-62 Townsend Street, Dublin 2, Ireland, an umbrella investment company with variable capital and segregated liability between the sub-funds, incorporated under the laws of Ireland and authorised by the Central Bank of Ireland (CBI) as a UCITS Fund in accordance with the Directive 2009/65/EC. The Management Company is GAM Fund Management Limited, George’s Court, 54-62 Townsend Street, Dublin 2, Ireland. Some of the sub-funds may not be registered for sale in all jurisdictions. Therefore, no active marketing must be carried out for them. Investments should only be made after a thorough reading of the current prospectus, offering memorandum, the Key Investor Information Document “KIID”, the articles of association and the current annual and semi-annual reports (the “legal documents”), as well as after consulting an independent finance and tax specialist. The legal documents can be obtained in hard copy and free of charge from GAM Fund Management Limited.