First Class Multi Asset Premium

Strategy description

The First Class Multi-Asset Premium Strategy is a globally diversified, benchmark unaware strategy aiming for long-term capital growth and designed to actively respond to changing market environments.

Objective

The strategy aims to deliver an annualised return of 1-month EURIBOR + 5% before fees over a five year period with a clearly defined risk budget (target ex-ante volatility 8%; maximum 15%).

Key information

Investment Universe Multi-asset; bonds (government bonds, investment grade and non-investment grade bonds), equities, money-markets, real-estate, commodities, currencies
Investment Style Diversified capital growth
Return Objective EURIBOR + 5% annualised before fees over 5-year horizon
Risk target Annualised ex-ante volatility of 8%, max 15%
Base Currency EUR


NN Investment Partners

+44 (0) 207 382 1332

Key elements

  • All-in-one Multi-Asset solution
  • Your entry into a World of Opportunities
  • A clear return objective
  • Aiming to avoid negative surprises
  • Liquid and transparent
  • Net short positions at an asset class level allowed

Documents

Latest insights

We aim to achieve the investment objective by harvesting the longterm risk premiums, through tactical positioning in a risk aware and robust manner and from bottom-up securities selection. The longterm risk premiums are captured by applying a risk budgeting approach where the risk budget is equally divided between ‘relatively safer’ assets and risky assets to arrive at the strategic allocation. The final portfolio allocations are determined during the tactical asset allocation process. In this process our view generation is driven by both quantitative (fundamental and behavioral) signals as well as qualitative judgment. In case risky assets become extremely volatile and/or we don’t deem them attractive anymore from a risk-return perspective, we can allocate more to relatively safer government bonds and/or cash and money market instruments. This can provide a margin of safety in the event of significant market downturns. On the other hand if risks decrease and/or if we see more opportunities, we can increase our allocation to more riskier assets which typically offer higher returns. This dynamic asset allocation process enables us to exploit attractive investment opportunities when they arise. Furthermore we can take long and short positions using derivatives, including net short positions at an asset class level, to benefit from expected market upturns and downturns in order to achieve the objectives.

NN Investment Partners

+44 (0) 207 382 1332

Key elements

  • All-in-one Multi-Asset solution
  • Your entry into a World of Opportunities
  • A clear return objective
  • Aiming to avoid negative surprises
  • Liquid and transparent
  • Net short positions at an asset class level allowed

Documents

Latest insights

Ewout van Schaick

Ewout van Schaick

Head of Multi-Asset

Experience since 1997

Niels de Visser

Niels de Visser

Senior Portfolio Manager, Multi-Asset Portfolios

Experience since 1996

Jesse Borst

Jesse Borst

Portfolio Manager, Flexible Multi-Asset Portfolios

NN Investment Partners

+44 (0) 207 382 1332

Key elements

  • All-in-one Multi-Asset solution
  • Your entry into a World of Opportunities
  • A clear return objective
  • Aiming to avoid negative surprises
  • Liquid and transparent
  • Net short positions at an asset class level allowed

Documents

Latest insights