When it comes to investing, one of the most important principles is diversification – spreading your money across different types of investments to help manage risk. But building and maintaining a diversified portfolio can be complex and time-consuming, especially if you’re not monitoring markets every day.
That’s why we’re delighted to introduce a new range of multi-manager funds, providing a professionally managed, diversified investment solution aligned to your personal goals and appetite for risk.
What are multi-manager funds?
A Multi-Manager fund is exactly what it sounds like: a fund made up of other funds. Rather than holding individual stocks, bonds or other assets directly, it invests in several carefully selected underlying funds. Each of these funds may focus on different asset types such as shares, bonds, property, cash or alternative investments, and they also may invest in different regions around the world.
How do multi-manager funds work?
Think of it as a ready-made investment portfolio, built and managed by specialist fund managers on your behalf. Instead of choosing and managing multiple funds yourself, you invest in a single fund that spreads your money widely across markets, investment styles and managers from day one.
These funds are managed by experienced professionals who hand-pick the underlying funds and monitor them on an ongoing basis. Each Multi-Manager fund is designed to sit within a specific risk level, ranging from lower-risk conservative options to higher-risk growth-focused funds. This means you can select a fund that suits both your financial goals and your comfort with investment risk.
What are the benefits?
Investors choose Multi-Manager funds for several reasons:
- Instant diversification – rather than relying on the performance of a single investment, your money is spread across many different investments. This can reduce the impact of any one area of the market performing poorly.
- Professional oversight – a specialist investment team continually monitors the underlying funds in your portfolio and makes changes when needed to keep the fund aligned with its target risk level
- Built-in risk targeting – each fund is designed to stay within an agreed risk level, making it easier for you to choose a fund that matches your investment goals — whether you’re seeking steady returns or aiming for long-term growth.
- Convenience – creating and maintaining a diversified portfolio takes time, expertise and regular reviewing. Multi-manager funds offer a straightforward alternative for those who prefer delegating investment decisions to professionals.
As with all investments, their value can go down as well as up, and you may get back less than you invest and your capital is at risk. These funds are designed for medium to long-term investing, typically at least five years or more.
Want to find out more?
Multi-manager funds are designed to offer access, choice and convenience in a single investment. To find out more about your new investment choices and explore whether they could be suitable for you, contact your Aegon Financial Planning Manager, call us on 0800 464 3079*, or request an appointment using the button below.
* Call charges vary. Lines are open Monday to Friday between 8.30am and 5.30pm. All calls are recorded for business purposes. Afp199 exp10/26
