Investment management firm 1OAK Capital is making a further foray into the retail investment space, as it launches a core-satellite managed portfolio service (MPS).
The core of the MPS, to which 80% of the portfolio is dedicated, comprises 1OAK’s multi-asset funds. These funds utilise strategies and expertise from Blackrock, incorporating either the US giant’s asset allocation guidance, multi-asset funds, or ETFs.
About one fifth of each portfolio is exposed to actively-managed satellite funds, which 1OAK selects in order to offer additional diversification. The four options for the satellite funds are alternative equity, absolute return, thematic equity, and defensive.
The portfolios are risk rates from one (defensive) through to seven (maximum equity) and are available through Quilter, Fidelity, and Novia. However, 1OAK plans to increase the range of platforms if demand from advisers grows.
The firm also announced the launch of its Defensive Absolute Return (DAR) certificate, which offers exposure to an actively-managed portfolio of accounts on the DbSelect platform. DAR aims to provide returns that are uncorrelated to equities and bonds, and the offering is available to managers of Ucits funds, family offices, pension schemes, and institutional investors.
Giovanni Bonaccorso, CEO of 1OAK, said: “Over the last few years, we have seen an increased demand for products and services that use alternative strategies. At 1OAK, we have an expert team with the advantage of experience and have been around for long enough to see several market cycles. So, this is an excellent time to launch a certificate for institutional investors and an MPS that each take advantage of our skill set.”
Andrea Grillo, head of manager selection, said: “We have provided our investment management services to institutional investors on a bespoke basis. I am delighted that we are now launching products that a broader group of investors can hold.
“The range of alternative Ucits funds has expanded significantly in recent years, and there is now a wide range of funds from which we can choose. Therefore, we have used the same approach to select alternative funds for the MPS.”