Extraordinary monetary policy since the financial crisis has skewed investment returns and tightened the relationships between equities, bonds and property, making diversification harder to achieve. Liquid Alternatives strategies can help to address this issue and provide more precise risk and return targeting.
Absolute return funds can introduce return streams into a portfolio that rely less on the direction of capital markets. This can be valuable at times of heightened equity valuations and rising interest rates.
This risk reduction potential does not necessarily come at the cost of future performance, which makes absolute return strategies a compelling opportunity.
Schroders has a large absolute return platform and over the past 20 years we have built one of the world’s largest absolute return fund ranges.
Our stable of internally-managed strategies is complemented by a handpicked selection of external alternative managers with proven track records. These are offered in a liquid, transparent and regulated manner.
Our Liquid Alternatives platform is built on three pillars; return enhancing growth strategies; diversification strategies and inflation protection strategies. Together they cover a broad spectrum of investors’ needs.
We also have the potential to add capabilities to meet the specific requirements of our larger institutional clients.
Our mission is to help investors build durable portfolios, tailored to individual risk and return needs. We take a consultative approach, ensuring that our clients get a portfolio that matches their needs, while providing consistent support as market conditions change.
Any security(s) mentioned above is for illustrative purpose only, not a recommendation to invest or divest.
This material is intended to be for information purposes only and it is not intended as promotional material in any respect. The views and opinions contained herein are those of the author(s), and do not necessarily represent views expressed or reflected in other Schroders communications, strategies or funds. The material is not intended to provide, and should not be relied on for investment advice or recommendation. Opinions stated are matters of judgment, which may change. Information herein is believed to be reliable, but Schroder Investment Management (Hong Kong) Limited does not warrant its completeness or accuracy.
Investment involves risks. Past performance and any forecasts are not necessarily a guide to future or likely performance. You should remember that the value of investments can go down as well as up and is not guaranteed. Exchange rate changes may cause the value of the overseas investments to rise or fall. For risks associated with investment in securities in emerging and less developed markets, please refer to the relevant offering document.
The information contained in this material is provided for information purpose only and does not constitute any solicitation and offering of investment products. Potential investors should be aware that such investments involve market risk and should be regarded as long-term investments.
Derivatives carry a high degree of risk and should only be considered by sophisticated investors.
This material, including the website, has not been reviewed by the SFC. Issued by Schroder Investment Management (Hong Kong) Limited.