MainSky Asset Management AG announced the launch of its macro navigation fund. The aim of the fund is to participate in structural (long-term) macroeconomic developments. On the equity side, the title selection is performed by means of a factor approach, whereby the factors quality and value are placed at the centre.
The weighting of the factors quality and value, which is dependent on the market phase, results in a considerable added value.
“It is crucial to overweight the factor value in upswing and expansion phases, while the factor quality is to be taken more into account in downturn and recession phases. An indicator developed by MainSky, which is based on the quantitative analysis of macroeconomic data, is used to identify the phases”, said Daniel Duarte, the responsible portfolio manager for this fund.
“A further strength of the fund is risk management, as the application of the MainSky methodology ensures that no concentration of individual systemic risk drivers is made in the portfolio. Thus the portfolio should not show too much volatility, and should not be unduly diminished, especially in weak equity market phases”, added Daniel Duarte.
The fund aims to achieve an absolute performance target of 6-8% p.a.(rolling over three years) with a volatility of <10%.