The funds are unitised versions of its bespoke discretionary portfolios, specifically the Elite CAM Balanced and Elite CAM Cautious Discretionary Portfolios. They are both managed by James Calder, CAM’s research director, and are already available across a number of other platforms.
They are both funds of funds, with, according to its latest fact sheet at September 2011, the Balanced Fund holding 51% in equities (29% overseas, 18% in fixed interest and 16% in alternatives such as Standard Life Investments Global Absolute Return Strategies and Troy Trojan funds. Its benchmark is CPI plus 4%.
The Cautious Fund, with a benchmark of CPI plus 2%, holds less equities (41%, of which 24% is overseas), more fixed income (26%) and alternatives (20%).
According to the company’s business development director Helen Angove, intermediaries can benefit from investing in these funds through the platforms “knowing the underlying investments can be changed when necessary without incurring switching fees and a tax liability on the underlying portfolio”.
Calder added: “It is our strongly held view that no one fund manager can cater for a client’s needs throughout a complete economic cycle. Equally, different asset classes may perform differently under similar market conditions. Investing in a single asset class may maximise returns at any given time, but such a strategy can also increase risk should market conditions change.”
