HSBC Global Asset Management has launched a Multi-Asset Style Factor fund aiming at reducing correlation to traditional asset classes.
The new fund will invest according to carry, momentum and value style factors and across equity, bond and currency markets. The main aim of the fund is to reduce any impacts of low interest rates and maintain liquidity. As a result, it will also use derivatives.
The fund, which will be registered in Germany, France, Belgium and Italy, will be managed by Mathieu Guillemet.
HSBC Global AM senior product specialist for multi assets Keith Swabey says: “Academic research has shown the potential of style factor strategies and we believe it should form a part of most investors’ portfolios.
“In today’s complex investment environment, it is more important than ever that we develop products that offer our clients innovative investment techniques that seek to address their core problems. Therefore, we are delighted to bring this strategy via a Luxembourg Sicav and are encouraged by the high degree of client interest already.”