Blacksquare Capital is a specialist in managing multi-manager funds (also known as fund of funds) in specific sectors. Their aim is to identify fund managers that they believe have proven their ability to deliver superior returns in a variety of market conditions.
The IFSL Blacksquare Multi-Manager Absolute Return Fund focuses on investing in absolute return funds which aim to deliver positive returns each year regardless of market conditions. While absolute return funds are designed to deliver positive returns each year, this performance is not guaranteed and the value of the investment may fall as well as rise.
The fund can invest globally and across a range of different assets such as shares, bonds, currencies and commodities. The aim is to combine funds that use a variety of different strategies to offer diversification.
The fund will be managed by Richard Sherwin and at launch it is expected to invest in around 15 absolute return funds (the IMA sector only has about 30 - 40 funds at present, but the managers can also invest in regulated offshore funds). The vast majority of the portfolio is likely to be biased towards corporate bonds, shares and currency strategies.
Interestingly, the fund does not have a performance fee and it has a competitive annual management fee of 1.5%. However investors should note that many of the underlying funds will have performance fees, which we are not generally a fan of, but are very common in this type of fund.
The absolute return universe of funds is small, although this is growing. As it grows, this will provide the manager with greater choice. A fund of absolute return funds approach is a relatively new concept and we would like to see how the fund performs. It is not on the Wealth 150 list of our favourite funds in each sector at this time because we are unable to perform our usual level of due diligence on a fund of absolute funds - we like to know the underlying investments before endorsing a fund.
Key features of the IFSL Blacksquare Multi-Manager Absolute Return Fund
IFSL Blacksquare Multi-Manager Absolute Return Fund Prospectus
The IFSL Blacksquare Multi-Manager Absolute Return Fund focuses on investing in absolute return funds which aim to deliver positive returns each year regardless of market conditions. While absolute return funds are designed to deliver positive returns each year, this performance is not guaranteed and the value of the investment may fall as well as rise.
The fund can invest globally and across a range of different assets such as shares, bonds, currencies and commodities. The aim is to combine funds that use a variety of different strategies to offer diversification.
The fund will be managed by Richard Sherwin and at launch it is expected to invest in around 15 absolute return funds (the IMA sector only has about 30 - 40 funds at present, but the managers can also invest in regulated offshore funds). The vast majority of the portfolio is likely to be biased towards corporate bonds, shares and currency strategies.
Interestingly, the fund does not have a performance fee and it has a competitive annual management fee of 1.5%. However investors should note that many of the underlying funds will have performance fees, which we are not generally a fan of, but are very common in this type of fund.
The absolute return universe of funds is small, although this is growing. As it grows, this will provide the manager with greater choice. A fund of absolute return funds approach is a relatively new concept and we would like to see how the fund performs. It is not on the Wealth 150 list of our favourite funds in each sector at this time because we are unable to perform our usual level of due diligence on a fund of absolute funds - we like to know the underlying investments before endorsing a fund.
Key features of the IFSL Blacksquare Multi-Manager Absolute Return Fund
IFSL Blacksquare Multi-Manager Absolute Return Fund Prospectus
