BNY Mellon Investment Management has launched the BNY Mellon Absolute Insight Fund, an Irish domiciled UCITS absolute return fund with daily liquidity.
The fund is managed by Insight Investment.
Working in partnership, BNY Mellon and Insight have developed a global multi-strategy UCITS fund that invests across a range of absolute return strategies based on the Absolute Insight range and managed by Insight’s specialist equity, fixed income and multi-asset teams. Each of the underlying strategies is actively managed on an absolute return basis targeting a positive return with very low correlation to equity markets.
The BNY Mellon Absolute Insight Fund, which aims to achieve positive returns on a rolling 12-month basis, launches with EUR90m of client seed money from six countries across Europe. It builds on the success of the Absolute Insight range which has total assets in excess of GBP5 billion and will be distributed throughout Europe by BNY Mellon.
The fund will aim to mirror the holdings of the existing UK domiciled (non-UCITS) Absolute Insight Fund as close as possible, thereby offering the existing capability within a UCITS wrapper.
The fund will be offered with retail and institutional share classes denominated in Euro, US Dollar, Sterling and Swiss Francs.
Matt Oomen, head of EMEA intermediary distribution at BNY Mellon, says: “There is a clear and present demand for absolute return products particularly as they give investment managers even greater flexibility to deliver positive returns. Many managers claim to offer absolute return, but in reality few really deliver positive returns on a rolling 12-month basis. Given the proven success of Insight’s absolute return capability and the breadth and depth of its expertise, Insight was ideally placed to work with us in developing the new fund.”
Abdallah Nauphal, CEO of Insight Investment, says: “Insight was one of the first asset managers to bring institutional quality, processes and governance to absolute return investing. We believe absolute return investment approaches will play an increasingly important role in portfolios. The addition of a multi-strategy UCITS fund to the Absolute Insight range will open this capability to the broadest range of investors in Europe.”
