SPECIAL REPORT SUMMER 2016
In this report, portfolio managers from across BNY Mellon Investment Management and its affiliates identify and explain the many facets of this rapidly evolving class of strategies and they outline the types of approaches and instruments used in multi-asset portfolios.
In an investment climate characterized by persistent slow global economic growth, low interest rates and volatile markets, investors continue to seek new sources of uncorrelated returns as well as opportunities for downside risk protection. Over the past decade, that interest has helped drive the growth and development of multi-asset investment strategies that venture beyond traditional asset classes.
While long-only developed market equity and bond holdings were long the mainstays of balanced investment portfolios, multi-asset strategies may now contain a variety of assets including gold, emerging market equity and debt, renewable energy and infrastructure investments.
In this report, portfolio managers from across BNY Mellon Investment Management and its affiliates identify and explain the many facets of this rapidly evolving class of strategies and they outline the types of approaches and instruments used in multi-asset portfolios. Among the topics they consider are the potential benefits of absolute return investments and the effectiveness of these strategies in the current market; the potential strengths of gold and other precious metals as “real assets” that can help diversify risk and return; and the assets which can be most effective in smoothing returns over the next 12 months.
At BNY Mellon, we’re committed to helping our clients find ways to manage risk while pursuing returns. Our multi-asset strategies’ breadth of assets and absence of benchmark constraints enable investors to gain exposure to equity and debt assets through alternative means as well as accessing investment options outside of those traditional categories, all in order to meet the challenges of today’s markets.
Explore the Multi-Asset Report
Across the Spectrum
Multi-asset investment embraces a growing range of investment styles and assets as the popularity of the sector is encouraging the use of increasingly diverse allocation strategies. Here, managers from BNY Mellon Investment Management boutiques assess the development of the market and consider its future prospects.
Made to Measure: Q&A
Volatile markets present challenges to a wide range of global investors. In the current low-yield, low-interest- rate environment, intelligent tactical asset allocation is increasingly important as the hunt for return intensifies say managers from BNY Mellon Investment Management, Newton, Insight Investment and Mellon Capital.
With an emphasis on diversification and the goal of achieving uncorrelated returns, are absolute return funds a competitor to multi-asset funds or a peer? Here, Insight absolute return manager Sonja Uys looks at the role of absolute return strategies, especially in a volatile and uncertain investment climate.
Absolute Return Manager, Insight Investment
Winds of Change
Ethical and environmental considerations look set to play an increasing role in multi-asset investing, according to Mellon Capital global strategist Jason Lejonvarn.
Global Strategist, Mellon Capital
* Investment advisory services in North America are provided through four different SEC-registered investment advisers using the brand Insight Investment: Cutwater Asset Management Corp, Cutwater Investor Services Corp, Pareto New York LLC and Pareto Investment Management Limited.
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