Barings Targeted Return Fund
as of 26/05/2020
Share Class Info
|Share Class||Class GBP Inc|
|Accumulating / Distributing||Distributing|
|Share Class Inception Date||17/01/2020|
The investment objective of the Barings Targeted Return Fund (“the Fund”) is aimed at exceeding a total return of CPI + 3% per annum, net of the Manager's fees, which shall include an income target exceeding CPI + 1% per annum, in each case over a full market cycle (typically between 5 and 10 years).
The Manager uses the ideas generated by the Strategic Policy Group, our global macro research asset allocation group, to choose what we believe are the best investments to achieve the investment objectives of the Fund. This means we construct a portfolio of stocks or bonds from a mix of companies, countries and sectors to suit our current asset allocation policy at that point in time. We believe that asset allocation is the most important driver of returns. It is important to be in the right market at the right time, and to be able to retreat to a more defensive position to help manage risk. We follow a two-stage investment process that assesses both long-term return opportunities, driven by slowly evolving macroeconomic factors, and shorter-term opportunities generated by market volatility. We maintain a forward-looking approach and are conscious that what proved to be a defensive asset in a previous downturn may not always be suitable. We use our wide investment universe to ensure that we avoid over diversification and focus on assets that we believe are appropriate for the prevailing economic and market cycle.
Who Should Invest
The Fund is a dedicated Charity Fund designed for investors seeking capital growth from investments outlined in the objective.
The value of investments can fall as well as rise and investors may not get back the amount originally invested. Emerging markets or less developed countries may face more political, economic or structural challenges than developed countries. Debt securities are subject to risks that the issuer will not meet its payment obligations. Changes in exchange rates between the currency of the Fund and the currencies in which the assets of the Fund are valued may also affect the value of the Fund. The Fund may also use derivatives for investment purposes. These are complex instruments that carry the risk of causing increased volatility in the value of the Fund.