VIA AM has partnered with Societe Generale to launch two Smart Income equity funds, which aim to offer exposure to companies benefitting from high dividend payouts and solid fundamentals, while halving the risks associated with equities.
This collaboration allows VIA AM to use its expertise in fundamental systematic strategies and hedging, while drawing upon Société Générale’s globally recognised know-how in derivatives and leading infrastructure.
The two funds, Solys VIA Smart Income Europe and Solys VIA Smart Income World, aim to generate net returns of 4-5 per cent per year, more than 20-25 per cent above their benchmarks. Thanks to the hedging strategy applied, the risk of losses, volatility and performance of these funds are on average half that of standard equity markets.
In an environment which is less favourable to equities and fixed income, the two funds respond to investor demand for solutions to improve returns while reducing overall risk.
The superior returns offered by Smart Income strategies owes to the selection of strong companies that pay high and regular dividends. To achieve this, VIA AM uses a unique proprietary accounting technology, which enables it to detect companies which meet the desired criteria. The Solys VIA Smart Income Europe sub-fund is invested in around a hundred European companies, spread over the region’s main sectors and markets. Solys VIA Smart Income World is exposed to almost 160 companies worldwide, including emerging markets, with good sectorial and regional diversification.
The reduced risk profile of the funds is obtained through the implementation of systematic hedging strategies, using options. This hedging technique enables the fund to capture additional returns while providing portfolio protection. To implement these optional strategies, VIA AM uses the structuring and management capabilities of Lyxor International Asset Management via the SICAV Solys.
VIA AM benefits from the track record of Guillaume Dolisi and Laurent Pla, co-founders of and investment managers at VIA AM, as well as the accounting standardisation technology developed by Mauricio Zanini. Building on the distribution capacity of the Éric Sturdza Group, VIA AM has attracted the interest of investors in France, Switzerland and Luxembourg, which in turn has enabled the company to develop rapidly.
VIA AM has seen strong growth of its activities in the two years since its creation. VIA AM offers a range of six funds (European, US and global equities, as well as absolute return) which collectively represent more than 630 million euros of assets under management.
