The CF Canlife Managed 0%-35% Fund will come under the firm’s OEIC umbrella with a focus on assets offering “competitive yield” and short duration bonds to protect it against any interest rate hikes.
Fund manager David Marchant, CIO of Canada Life and MD of Canada Life Asset Management, said he would focus on the fixed income allocation to provide stability and income as the world entered a period of heightened political and economic uncertainty.
“We have clearly entered a period of heightened political and economic uncertainty. In the UK, advisers are increasingly looking to de-risk portfolios after a strong run for risk assets, particularly as Britain looks set to trigger Article 50 in the coming months and set in motion its exit from the EU,” Marchant said.
“There are also unknowns surrounding the new direction in US politics, as well as uncertainties stemming from upcoming elections across Europe.”
The fund will sit in the IA Mixed Investment 0-35% Shares sector and will mirror the strategy already used across the existing Canlife Managed Funds for the last ten years.
It will be diversified across UK assets including income-orientated equities, property, government bonds and corporate bonds.
