The Schroder Multi-Asset Total Return Fund will target a 4% return a year for investors before charges and aim to balance returns with a low level of sensitivity to market movements.
To hit the targeted returns, the multi-asset team will invest in return seeking assets, diversifiers such as commodities and currencies and risk-reducing assets to help reduce the impact of short-term market falls.
James Rainbow, co-head of UK intermediary at Schroders said: “With interest rates falling to record lows and a persistently low yield environment, investors are in a difficult position when looking for stable returns.
“We have created an innovative solution which we believe is well placed to deliver long-term performance across a range of market conditions and aims to help investors achieve stable returns with considerably lower volatility.”
The fund’s management team, overseen by the global head of multi-asset investments Johanna Kyrklund, will take a medium-term view of markets and when making asset allocation decisions.
The fund has an ongoing charge of 0.80% and its minimum investment is £5,000 ($6,458, €5,925).
