On the 1st of August, we added the Rathbone Enhanced Growth Portfolio to our range of multi asset funds.
The fund is aimed at higher-risk investors with a long-term time horizon – targeting a return over a minimum of 5 years, but ideally over 10 years and beyond. As with the other funds in the range, this fund utilises an extensive variety of investment vehicles and asset classes to meet its investment objectives.
Also in keeping with the existing structures, this client-focused fund targets defined return objectives within defined levels of volatility, benchmarking against returns, on average, 2% above the returns from a combination of 70% MSCI World index and 30% MSCI Emerging Markets index over the long term, with a volatility targeted to be 100% of equity volatility, measured by the MSCI World index.
Our Chief Executive Officer, Mike Webb comments:
“The new fund complements our existing range, but the over-riding investment philosophy, based on strict risk-control and a focus on changing correlations, remains the same. “We believe Rathbones is one of the few houses to continue to offer a risk benchmark. Furthermore, the addition of the new fund to the RMAPs suite means we are well placed to meet the requirements of intermediaries looking for a multi-asset solution that works alongside their individual client risk-profiling obligations.”
David Coombs, fund manager and Head of Multi Asset Investments, adds:
“The fund’s benchmark has been chosen with care. We believe that in 10 years’ time, the weighting to emerging markets in the MSCI World Index will more closely match their share of global GDP than current stock market capitalisations. The International Monetary Fund is forecasting that emerging markets share of GDP could be as much as 51% by 2013. This ties in with our forward-looking message.”