Multi asset investing Multi asset solutions for modern markets

The Multi Asset Team manages a wide array of domestic, regional and global portfolios, utilizing core, growth, income and absolute return strategies. They also have expertise in currency and convertible bond mandates.

Multi asset investing

Investment strategies

Benchmark

Dynamic Alpha Strategy is an absolute return-seeking portfolio, unconstrained by a benchmark.

Objective

Seeks to earn a predefined return, either absolute or real, with lower volatility than traditional global balanced portfolios.

Investment philosophy

  • Interaction of investors and financial markets can generate substantial and unsustainable discrepancies between certain securities' market prices and their intrinsic values.
  • Price to intrinsic value discrepancies create opportunities to add value through active portfolio management.
  • Conventional, benchmark-linked balanced portfolios assume that the valuation of an asset class is consistent with that of the underlying securities that comprise the asset class.
  • Additional sources of return can be found by decoupling market selection from security selection, through a short position in the asset class, market or currency, additional sources of return can be found.

Investment process

  • Seek price to intrinsic value discrepancies at asset class, country, sector and individual security levels.
  • Decouple market exposure (beta) from security exposure (alpha) through the use derivatives, primarily by establishing short positions in futures contracts of a market index or in a currency.
  • Risk management is a key element of the portfolio and is integrated into portfolio construction process at every level.

Benchmark

Global Securities Markets Index, a proprietary index.

Objective

Maximize total US dollar return without assuming unnecessary risk by investing in a broadly diversified global portfolio of stocks and bonds, including developed non-US international markets and emerging markets.

Investment philosophy

  • Interaction between investors and financial markets can generate substantial and unsustainable discrepancies between certain securities' market prices and their intrinsic values.
  • Price to intrinsic value discrepancies create opportunities to add value through active portfolio management.

Investment process

  • Seek out price to intrinsic value discrepancies at asset class, regional, country, sector, sub-sector and individual security levels.
  • Monitor strategy on an ongoing basis.
  • Rebalance portfolio with risk and return considerations in mind.
  • Base investment decisions on comprehensive analysis of forward-looking investment fundamentals and the collective judgment of global investment teams.

Benchmark

Multiple Markets Index, a proprietary index.

Objective

Maximize risk-adjusted returns and outperform benchmark by investing in a broad range of securities markets or asset classes representing a well-diversified global portfolio.

Investment philosophy

  • Interaction between investors and financial markets can generate substantial and unsustainable discrepancies between certain securities' market prices and their intrinsic values.
  • Price to intrinsic value discrepancies create opportunities to add value through active portfolio management.

Investment process

  • Seek out price to intrinsic value discrepancies at asset class, regional, country, sector, sub-sector and individual security levels.
  • Monitor strategy on ongoing basis.
  • Rebalance portfolio with risk and return considerations in mind.
  • Base investment decisions on comprehensive analysis of forward-looking investment fundamentals and the collective judgment of global investment teams.

Benchmark

65% Russell 3000, 30% Barclays Capital U.S. Aggregate and 5% Merrill Lynch U.S. High Yield Cash Pay Constrained.

Objective

Maximize total return, consisting of capital appreciation and current income, by investing in a wide range of US stocks and bonds.

Investment philosophy

  • Interaction between investors and financial markets can generate substantial and unsustainable discrepancies between certain securities' market prices and their intrinsic values.
  • Price to intrinsic value discrepancies create opportunities to add value through active portfolio management.

Investment process

  • Seek out price to intrinsic value discrepancies at asset class, regional, country, sector, sub-sector and individual security levels.
  • Monitor strategy on ongoing basis.
  • Rebalance portfolio with risk and return considerations in mind.
  • Base investment decisions on comprehensive analysis of forward-looking investment fundamentals and the collective judgment of global investment teams.