The case for Multi-Asset
“Multi-asset investing is a robust way to navigate through periods of market turmoil and stand ready to act when new opportunities arise. The current market environment, with increasing volatility and low rates, will favour these strategies even more.”
- Valentijn van Nieuwenhuijzen, CIO at NN Investment Partners -
Weaker growth trends, aging populations and record low interest rates create a world full of challenges for savers or private investors. For some savers negative interest rates are now emerging on the horizon where others are simply confused and fearful by the unusual environment. Most of these (new) investors need guidance in their investment decisions.
In this challenging environment multi-asset funds offer an effective way to manage uncertainty while at the same time being able to exploit opportunities in a risk aware manner. Multi-asset funds provide easy access to a transparent investment approach that utilizes multiple and globally diversified returns sources, without losing sight on the uncertainty that will always be attached to the future of those sources. The flexibility of multi-asset funds provides more robustness in periods of uncertainty and creates a steady capital appreciation in the long run.
How Multi-Asset funds could benefit your investors
- It is an all-in-one solution that provides easy access to a wide diversity of return sources with higher flexibility, robustness and liquidity than most investment alternatives. Our multi-asset funds are designed to quickly respond to changing market conditions.
- They are a good first step up for new investors moving money from a savings account to an investment plan. In the long run a multi-asset strategy can offer stable capital growth. This is a very important consideration for private investors who have a long term goal in mind, like increased financial security on health, education and pension needs.
- What we say is what we do. The views we share on the global economy and asset allocation are fully aligned with the positioning in our multi-asset solutions. This provides credibility to the views we share with clients.
- Innovation. Continued learning and enhancing is applied within our approach, both in the management of portfolios and the design of new products. This shows in the use of Big Data (social media, digital news), embedding of ESG criteria, focus on Income generation and applying the factor investing approach to multi-asset space.
Strong and consistent performance results
Our First Class Multi Asset (FCMA) strategy is well suited for investors who seek a stable return on their investment.
Since inception in 2011, the strategy has generated strong risk-adjusted performance. This strategy aims for capital growth by dynamically investing in various asset classes.
The target is 3% gross excess return above short term rates on a five year basis. Our First Class Multi Asset Premium (FCMA Premium) strategy is suited for investors who want a higher return and accept slightly higher risk. The strategy aims for a gross total return of 5% above short term rates. The target volatility is 8%.
This more offensive strategy can take net short positions. This is a benchmark unaware strategy with limited constraints. The FCMA Premium strategy offers investors a dynamic all-in-one solution.
The range of Patrimonial Mix funds offers diversified and dynamic exposure to bonds and equities with different risk/return profiles so that investors can choose according their personal risk appetite. The range consists of Patrimonial Aggressive 75% equity/25% bonds), Patrimonial Balanced (50%/50%) and Patrimonial Defensive (25%/75%).
First Class Yield Opportunities is a multi-credit strategy that invests in a wide range of fixed income instruments.