Most investors want two things from their investment: a stable return with as little risk as possible. In an unpredictable market, one of the best ways to achieve this is through diversification at the asset-allocation level. The M&G Cautious Multi Asset Fund is a readymade and actively managed portfolio designed to achieve the right split between equities, bonds, property and cash. In other words it provides a balanced investment and a managed level of risk to suit variable market conditions. So when markets are more volatile than usual, it could be wise to choose an investment that has already been well diversified by an expert.
EXPERTISE
The M&G Cautious Multi Asset Fund is managed by Citywire AAA rated David Jane*. David seeks to identify asset classes, themes, regions, sectors and investment styles which may benefit the fund. He has the flexibility to act with conviction and actively adjust the weightings of asset classes according to these themes (within the fund’s and regulatory guidelines), so that he has exposure to the best performing assets, while avoiding underperforming areas. By taking this approach, David is able to take full advantage of the breadth of expertise available to him at M&G.
David can invest up to 60% of the fund in equities, and has a minimum threshold of 30% in fixed income securities (such as government and corporate bonds) and cash. He can also invest in commercial property and asset types previously unavailable to retail investors such as leveraged loans. Investing across a broad range of asset types in this way can help to reduce the fund’s volatility and this is where a large, experienced asset management house like M&G, with expertise and strength across these areas, can provide an edge.
Although the fund aims to invest primarily in M&G’s own extensive, in-house range of funds, David can also hold individual shares and funds outside of M&G in order to gain exposure to specific investment themes. David will only do so if the potential returns outweigh any fees he would have to pay, thus keeping fund costs down in order to maximise returns. The fund’s flexibility also allows him to draw on his own 20 years of investment experience and back his convictions to help him achieve the fund’s objective.
Prices may fluctuate and you may not get back your original investment. Please note that the fund has a varying risk profile as it is exposed to various asset types each with their own risk profile.
*Citywire rating as at 31.12.07. Ratings should not be taken as a recommendation.