AMP Capital’s multi-asset fund hits $1bn FUM
AMP Capital's multi-asset fund has hit $1 billion in funds under management (FUM) on the back of significant demand for stable returns, according to the Australian fund manager.
The fund's senior portfolio manager, Matthew Hopkins, said FUM increased significantly over the last 12 months as investors sought safe havens from market volatility.
"Markets have also been more volatile during the last two years, which has led to many advisers and customers looking for investments that are better able to navigate the market's ups and downs. The multi-asset fund has been a good home for that capital," he said.
Investors should expect increased volatility in markets from potential US rate rises, political uncertainty and fluctuating levels of liquidity, he said.
"The tailwinds that had supported US earnings and valuations, in particular lower wages, low interest rates and weaker US dollar, are increasingly likely to become headwinds. However, volatility also creates opportunity and as the fund retains high liquidity, it will be able to take advantage of such market dislocations," Hopkins said.
The fund aimed to grow investors' wealth steadily over time, and deliver a return of 5.5 per cent above inflation, AMP Capital said.
However, based on Money Management's Investment Centre (MMIC) the fund returned 5.36 per cent to investors year-on-year, 7.15 per cent per annum over the last three years and 7.94 per cent per annum over the last five years.
For more information about the fund, or to compare the fund to its index and peers, click here for the MMIC.
Recommended for you
Infrastructure assets are well-positioned to hedge against global uncertainty and can enhance the diversification of traditional portfolios with their evergreen characteristics, an investment chief believes.
Volatility in US markets means currency is becoming a critical decision factor in Australian investors’ ETF selection this year.
Clime Investment Management is overhauling the selection process for its APLs, with managing director Michael Baragwanath describing the threat of a product failure affecting clients as “pure nightmare fuel”.
Global X will expand its ETF range of exchange-traded funds next month with a low-cost Australian equity product as it chases ambitions of becoming a top issuer of ETFs in Australia.
