There is an increasing recognition that outcomes matter more to investors than performance versus a particular index or benchmark. Clients are seeking predictability and consistency in an uncertain world and want their money managed in line with long-term goals. This might be meeting liabilities, boosting returns in a low yield environment, or controlling volatility. Multi-asset can play a key role here.
We can potentially improve returns and/or reduce risk by diversifying across asset classes. However, a considered and broad-ranging combination of investments is required today, including innovative sources of return such as commodities, infrastructure or alternative risk premia such as momentum, value and carry. A portfolio with true risk diversification has a better chance of surviving difficult markets.
Actively allocating between, and within, different asset classes can add significant value to portfolios over time. This is especially true in today’s lower return environment, which is expected to persist for the foreseeable future. However, it takes time and resources.
Multi-asset can therefore also help address the increasing regulatory pressures and governance requirements that institutions face when managing their own portfolios.
Our multi-asset approach focuses on the management of risk, in particular limiting large reductions in your capital. In this way we can help you to “win by not losing”. We’ve been doing this successfully for over 70 years.
Our multi-asset team has over 100 people based on-the-ground throughout the US, Europe and Asia Pacific. Being located alongside you gives us a better understanding of your specific requirements.
We offer a variety of ways to meet your needs. Firstly, we have products that aim to deliver cash-plus or inflation-plus returns. Secondly, there are solutions that focus on delivering a diverse and sustainable income stream. Finally, we have more traditional strategies that aim to outperform blended market benchmarks. We may use both active and passive strategies within portfolios, maintaining a focus on delivering the best possible value for money.
If you are a larger institution with strict investment guidelines to adhere to, we also have the ability to construct bespoke solutions that meet your individual requirements, or engage in strategic partnerships – we pride ourselves on our transparency and willingness to help.
Past performance is not a guide to future performance and may not be repeated. The value of investments and the income from them may go down as well as up and investors may not get back the amounts originally invested. Exchange rate changes may cause the value of any overseas investments to rise or fall.
Alternatives can be more volatile than shares and bonds, and it may be harder to cash in the investment at short notice.
Schroders has expressed its own views and opinions in this webpage and these may change. This webpage is intended to be for information purposes only.
The material is not an offer, solicitation or recommendation to buy or sell any financial instrument or to adopt any investment strategy.
The material is not intended to provide, and should not be relied on for, accounting, legal or tax advice, or investment recommendations. Reliance should not be placed on the views and information in the webpage when taking individual investment and/or strategic decisions. No responsibility can be accepted for errors of fact or opinion.
Information herein is believed to be reliable but Schroders does not warrant its completeness or accuracy.
Past performance is not a guide to future performance and may not be repeated.
The value of investments and the income from them may go down as well as up and investors may not get back the amounts originally invested. Exchange rate changes may cause the value of any overseas investments to rise or fall.
The data contained in this webpage has been obtained from sources we consider to be reliable. No responsibility can be accepted for errors of fact and the data should be independently verified before further publication or use.
Any references to securities, sectors, regions and/or countries are for illustrative purposes only.
In North America, this content is issued by Schroder Investment Management North America Inc., an indirect wholly owned subsidiary of Schroders plc providing asset management products and services as a US SEC registered investment adviser and in the capacity of Portfolio Manager with the securities regulatory authorities in Canada. For all other users, this content is issued by Schroder Investment Management Limited, 31 Gresham Street, London, EC2V 7QA. Registered No. 1893220 England. Authorised and regulated by the Financial Conduct Authority.