Four multi-asset funds to help meet your financial goals

The main reason for investing is to earn sufficient returns to meet your financial goals. These returns will be dictated by a number of factors, but principally by your investment horizon; the risk you are willing to take; your ability to stick to your investment plan; and, finally, your asset allocation.

Many studies have shown asset allocation – the division of your investment among different asset categories such as stocks, bonds and real estate – is the most important element of the process, as it offers investors a diversified portfolio which should insulate them from risks in the market.

But asset allocation for individual investors is no easy task. Choosing a fund is hard enough without then having to think about how its addition to a portfolio may change the asset mix.

So, one solution is a multi-asset fund which gives investors the chance to sit back and relax and the fund managers’ the flexibility to invest in a broad range of asset classes.

Below are four funds we believe offer something for all investors:

M&G Episode Income

Managed by Steven Andrew, this multi-asset fund can invest in stocks and bonds, while property exposure comes through investing in property funds. The term “Episode” is used in the fund’s labelling to reference periods when investor emotion causes them to act irrationally – it is here where Steven uses behavioural finance to find pockets of value and invest against the herd, rather than follow their lead. The fund currently has 45%* in equities, 38%* in government bonds and almost 4%* in property with the remainder held in cash.

Jupiter Merlin Balanced Portfolio

Led by John Chatfeild-Roberts, the multi-asset team at Jupiter has a suite of funds suitable for almost any investor. The fund can have between 40-85% in equities and aims to provide capital growth and a decent level of income. The team says that funds are like schoolteachers: “There were good ones and bad ones. The good ones really inspired you, imparted an enthusiasm for their subject and increased your understanding; in classes with the bad ones, you never learned a thing. It's the same in fund management.”

Premier Multi-Asset Growth & Income

This fund aims to provide equity-like returns through a multi-asset structure. The Premier team are led by investment director, David Hambidge, who has more than 25 years of multi-manager and multi-asset investment experience. The team look to control risk through diversification, investing in equities, bonds, property and other alternative assets. Almost half (49%**) of the fund is currently held in overseas equities, with a further 22%** in the UK. The fund also has a reasonable allocation to alternative strategies (11.7%**).

VT Chelsea Managed Aggressive Growth

This is a slightly punchier multi-asset offering which can invest up to 100% in UK and overseas equities, although it may also invest in other assets including bonds, property, gold and targeted absolute return strategies. 87%*** of the fund is currently invested in equities, with over one third of in US equities (37.2%***) and one fifth in European equities (18.7%***). The remaining 13%*** of the fund is invested in a combination of absolute return funds, gold and silver funds and cash.


Past performance is not a reliable guide to future returns. You may not get back the amount originally invested, and tax rules can change over time. Chris's views are his own and do not constitute financial advice.

*Source: Fund fact sheet, 30 April 2019
**Source: Fund fact sheet, 31 March 2019
***Source: Fund fact sheet, February 2019

Published on 20/05/2019