Baring Asset Management (Barings) has announced the conversion of its Baring Portfolio Fund into a multi asset product, renamed as Baring Dynamic Capital Growth Fund.
The fund continues to be managed by Alison Huang (pictured), it aims to achieve long-term capital growth through global multi asset investments whilst restricting equity risk to a maximum of 80%. The fund will use 3-month LIBOR+3% as a performance comparator. The fund will invest directly and indirectly in equities, fixed income securities, money market instruments, commodities and cash.
Marino Valensise, head of the Baring Multi Asset Group, comments: “Barings has a long trackrecord in multi asset investing, with a well-resourced and experienced team. This product is designed to bring our multi asset capability and experience to market at a lower price point which will suit members of pension schemes that fall under the new auto enrolment legislation, which comes into effect in April 2015.”
As of September 2014, the total fund size was £39.2m, for the last two years, the fund underperformed the FTSE WMA Stock Market Balanced Index.
According to Barings, the changes in investment objective and policy were made in order to enable the fund to move towards a more flexible style of management and respond more effectively to changes in the market environment.