Amundi announced last week that it would be making its French market focused Multi Asset Global fund available in 29 countries around the world by launching a UCITS-compliant SICAV version.
The fund, which has been available in France for over 10 years, has had an historic return of about 4% with around 3% volatility to date, Tazé-Bernard said in an interview with International Adviser.
“The typical allocation would be around 15% in equities, then around 50% in fixed income and the rest in cash and alternative strategies,” he said.
The alternative strategies include volatility investing, yield curve strategies and long-short plays, all of which are relatively liquid.
“From a risk return point of view, investors have to adapt to the fact that returns are going to be modest in future.”
More funds likely
Tazé-Bernard said Amundi, which is one of the world’s largest fund managers with more than €954bn($1trn, £685bn) in assets under management at the end of June, launched the new fund with a view to meeting increased interest from investors for targeted returns and risk.
“Also I think what we have seen, in terms of interest, are a number of financial advisers that are constrained by regulation and want to have an all-in-one solution.”
He said Amundi planned to launch other multi-asset funds in the future with different targeted risk returns.
However, he noted that in the current low inflation environment getting anything like a six or seven percent return would mean investing almost exclusively in equities.
“From a risk return point of view, investors have to adapt to the fact that returns are going to be modest in future.”
“The best risk return trade-off is probably one with a modest return and a modest risk allocation.”
Meanwhile the Amundi Group reported on Tuesday that net inflows from outside France accounted for 60% of total net inflows over the first nine months of 2015. This equated to €39.4bn out of the €65.8bn of total inflows in the nine month period and came mainly from Europe and Asia.
