Zenith awards recommended rating to CFM
Zenith Investment Partners has awarded a recommended rating to the CFM ISDiversified Trust due to its alternative beta strategy which strongly resonated in the Australian market.
Also, funds under management (FUM) had grown to $47 million since the fund's introduction in November, 2015.
According to Stephen Robertson, a founding partner and managing director of Winston Capital which is the Australian distributor of the CFM diversified alternative beta fund, the Zenith's rating reflected an increasing value placed by financial advisers on strong alternative beta investments.
"The entry of high-quality global managers like CFM into the retail marketplace has enabled financial advisers to access true-to-label investments with proven track records of delivery against defined risk and return objectives," he said.
Head of CFM Asia Pacific, Steve Shepherd stressed that Zenith's rating marked a strong year for CFM, as financial advisers looking for "true-to-label alternative solutions" recognised the attributes of a fund's diversified portfolio.
"The fund has been designed to offer investors a diversified portfolio of well-known and persistent alternative strategies that can be systematically harvested from markets, but at a fraction of the cost of the typical ‘2 and 20' model, and with greater liquidity," he said.
"These attributes have been recognised by financial advisers looking for true-to-label alternative solutions that aim to have zero correlation to equity and bond markets, whilst aiming to deliver returns of cash plus five per cent per annum, with constant volatility of six per cent per annum."
AUTHOR
Oksana Patron
Recommended for you
BlackRock Australia plans to launch a Bitcoin ETF later this month, wrapping the firm’s US-listed version which is US$85 billion in size.
Financial advisers have expressed concern about the impact including private market exposure is having on their tracking error budget, according to MSCI.
State Street will restrict its membership of global climate alliance Net Zero Asset Managers after the organisation dropped its flagship 2050 goals amid ESG backlash from the US.
Betashares has launched a global shares and a global infrastructure ETF as part of the firm’s strategic expansion strategy to support financial advisers in building more diversified portfolios.
