We are delighted to announce that the Liontrust Global Fixed Income (GFI) team will be integrated into the Liontrust Multi-Asset (MA) team from 1 January 2025.
As part of the integration, the fixed income portion of the MA funds and portfolios, which comprises around £1.4 billion in assets, will move from external investment managers to be managed by the fixed income expertise within the newly enlarged Multi-Asset team. This transition will be completed by the end of 2025.
Both the MA and GFI teams believe there will be greater diversity in interest rate policies around the world going forward. Following the integration, the MA team will have greater control over the whole management of the fixed income allocation within the funds and portfolios and therefore can take advantage of this powerful diversifier. The team believes that following the repricing of bonds in recent years, fixed income investing will have a greater positive benefit for portfolio construction.
Insourcing the fixed income allocation should also reduce costs for clients of the MA funds and portfolios.
The funds managed by the GFI team, in turn, will benefit from long-term capital from the MA funds and portfolios, providing greater scale and efficiencies. We will provide more information about the future range of fixed income funds in due course.
Therefore, we believe the integration of the GFI team will be positive for clients and the funds and portfolios that the integrated team manages.
John Husselbee will be Head of the enlarged MA team, James Klempster will be Deputy Head and Head of Equities, Phil Milburn will be Head of Rates and Donald Phillips will be Head of Credit.
John Husselbee said: “We have known and worked alongside Phil and Donald and the rest of the GFI team for many years before Liontrust and especially since they joined in 2018. Phil is already part of the MA Tactical Asset Allocation Forum so we know they will bring vast experience, knowledge and positive input into the team.
“We believe this integration into Multi-Asset will be to the benefit and in the best interests of our clients as we take advantage of the opportunities ahead in markets through our actively different approach.”
KEY RISKS
Past performance is not a guide to future performance. The value of an investment and the income generated from it can fall as well as rise and is not guaranteed. You may get back less than you originally invested.
The issue of units/shares in Liontrust Funds may be subject to an initial charge, which will have an impact on the realisable value of the investment, particularly in the short term. Investments should always be considered as long term.
The Funds and Model Portfolios managed by the Multi-Asset Team may be exposed to the following risks: Credit Risk: There is a risk that an investment will fail to make required payments and this may reduce the income paid to the fund, or its capital value. The creditworthiness of a bond issuer may also affect that bond's value. Bonds that produce a higher level of income usually also carry greater risk as such bond issuers may have difficulty in paying their debts. The value of a bond would be significantly affected if the issuer either refused to pay or was unable to pay; Counterparty Risk: The insolvency of any institutions providing services such as safekeeping of assets or acting as counterparty to derivatives or other instruments, may expose the Fund to financial loss; Liquidity Risk: If underlying funds suspend or defer the payment of redemption proceeds, the Fund's ability to meet redemption requests may also be affected; Interest Rate Risk: Fluctuations in interest rates may affect the value of the Fund and your investment. Bonds are affected by changes in interest rates and their value and the income they generate can rise or fall as a result; Derivatives Risk: Some of the underlying funds may invest in derivatives, which can, in some circumstances, create wider fluctuations in their prices over time; Emerging Markets: The Fund may invest in less economically developed markets (emerging markets) which can involve greater risks than well developed economies; Currency Risk: The Fund invests in overseas markets and the value of the Fund may fall or rise as a result of changes in exchange rates. Index Tracking Risk: The performance of any passive funds used may not exactly track that of their Indices. Any performance shown in respect of the Model Portfolios are periodically restructured and/or rebalanced. Actual returns may vary from the model returns.
The risks detailed above are reflective of the full range of Funds managed by the Multi-Asset Team and not all of the risks listed are applicable to each individual Fund. For the risks associated with an individual Fund, please refer to its Key Investor Information Document (KIID)/PRIIP KID.
DISCLAIMER
This is a marketing communication. Before making an investment, you should read the relevant Prospectus and the Key Investor Information Document (KIID), which provide full product details including investment charges and risks. These documents can be obtained, free of charge, from www.liontrust.co.uk or direct from Liontrust. Always research your own investments. If you are not a professional investor please consult a regulated financial adviser regarding the suitability of such an investment for you and your personal circumstances.
This should not be construed as advice for investment in any product or security mentioned, an offer to buy or sell units/shares of Funds mentioned, or a solicitation to purchase securities in any company or investment product. Examples of stocks are provided for general information only to demonstrate our investment philosophy. The investment being promoted is for units in a fund, not directly in the underlying assets. It contains information and analysis that is believed to be accurate at the time of publication, but is subject to change without notice. Whilst care has been taken in compiling the content of this document, no representation or warranty, express or implied, is made by Liontrust as to its accuracy or completeness, including for external sources (which may have been used) which have not been verified. It should not be copied, forwarded, reproduced, divulged or otherwise distributed in any form whether by way of fax, email, oral or otherwise, in whole or in part without the express and prior written consent of Liontrust.
