The IFSL Brooks Macdonald Defensive Capital Fund (DCF) has received the prestigious Rayner Spencer Mills Research (RSMR) rating. All of RSMR’s rated funds are subject to rigorous and ongoing scrutiny on both a qualitative and quantitative basis.
DCF has been a rated fund since August 2017. It is an award winning, global multi-asset absolute return fund, focusing on more esoteric asset classes including structured notes, convertible bonds, preference shares and discounted assets.
RSMR said the following about DCF.
“A positive for this fund is its differentiated return generating assets. Equity markets are viewed as being expensive relative to historic levels while the low yield environment offers minimal returns in bond markets at present. The majority of assets in the portfolio have fixed lives creating a self-amortising portfolio. The approach taken, not being dependent on market direction, offers investors an alternative in terms of return generation. It seeks opportunities in areas of the market that have suffered in previous crises and where they believe pricing anomalies exist.
Over the past five years, the risk adjusted performance of the fund has been strong generating a 35% cumulative return (as at 31 July 2017) at an annualised volatility level of approximately 3.8%. As the fund is long-only, it benefits from rising asset prices, but is still capable of generating positive returns in flat or slightly downwards markets. The fund had a particularly strong performance in 2016 returning approximately 9.3%.
The management team is well rounded. Jon Gumpel is an experienced manager who has worked in financial markets for over 30 years while the addition of Niall O’Connor in 2013 has strengthened the team’s technical capabilities given his background in derivative pricing and risk modelling. The manager’s skill lies in constructing a portfolio of alternative assets uncorrelated to traditional fixed income and equity markets with reasonable assurance that the underlying quality of these assets will hold value and be sufficiently liquid in a period of market stress.
The esoteric nature of the underlying investments must however be emphasised to investors with a caution that this fund is a satellite rather than a core holding but it is well worthy of a place in a diversified portfolio.”
For more details and contacts go here>>
Join the webinar
Jon Gumpel, manager of the fund, is hosting a webinar on 4 October at 10am. Click here to attend.
Prices and income will fluctuate and you may not get back your original investment. Past performance is not a guide to future performance.
All services, unless otherwise stated, provided by Brooks Macdonald Funds Limited.
Brooks Macdonald Funds Limited is authorised and regulated by the Financial Conduct Authority. Registered in England No 5730097. Registered office: 72 Welbeck Street, London, W1G 0AY.
Investment Fund Services Limited (IFSL) is the Authorised Corporate Director for the IFSL Brooks Macdonald Fund. IFSL is registered in England No. 06110770 and is authorised and regulated by the Financial Conduct Authority. Registered office: Marlborough House, 59 Chorley New Road, Bolton, BL1 4QP. Copies of the Prospectus and Key Investor Information Documents are available from www.ifslfunds.com or can be requested as a paper copy by calling 0808 178 9321 or writing to IFSL, Marlborough House, 59 Chorley New Road, Bolton, BL1 4QP