Standard Life Investments has been selected on a sub-advisory basis by UBS Pace Select Advisors Trust to manage a 25 per cent (approximately USD116.5m) component of its UBS Pace Alternative Strategies Investments.
In managing its portion of the fund, Standard Life Investments uses its Global Absolute Return Strategies portfolio.
Standard Life Investments’ Global Absolute Return Strategies portfolio seeks to deliver an absolute return similar to what might be expected from equities in the long-term, but with significantly less risk. GARS currently has over USD8bn of assets under management and over 260 institutional clients.
The fund is offered on a standalone basis and through UBS Pace Select Advisors Program, a consulting solution using equity, fixed income and alternative mutual fund portfolios. Each Pace portfolio is sub-advised by one or more investment advisers. The Pace Select Program is designed for investors seeking broad asset allocation, diversification and automatic rebalancing.
Mabel Lung, managing director, UBS Global Asset Management (Americas), the fund’s investment adviser, says: “We are very pleased to add Standard Life Investments as the fifth sub-adviser in our Pace Alternative Strategies fund. GARS, at a 25 per cent weight in the Fund, represents a core holding and is a strategy that we believe provides multifaceted opportunities to generate returns. With Standard Life Investments on board, we believe we have further enhanced the potential of the Pace Alternative Strategies fund to generate investment returns that are more independent of the equity and fixed income markets. This is extremely important to investors in today’s volatile investment climate.”
Steve Kuhn, head of US business development, Standard Life Investments, says: “I’m delighted that we’ve been given the opportunity to play such an important role in managing assets for the Pace Alternative Strategies fund. Standard Life Investments’ Global Absolute Return Strategies portfolio provides US investors with the potential to enhance returns and achieve stability. This partnership with UBS is also a great example of the synergies that can be created between two global managers with a shared vision to provide investors with attractive investment options.”
