Investments  

Guide to Multi-Asset

  • Describe some of the challenges with building a multi-asset fund currently
  • Explain the issues with government bonds
  • Identify ways to diversify in the current situation
CPD
Approx.60min
Guide to Multi-Asset

Introduction

The world has changed rather dramatically since multi-asset funds first became popular. Typically bonds were a good diversifier against equities, and could pick up the slack when share prices fell.

However, yields on government bonds have fallen so far in recent years that investment experts are looking elsewhere for returns and diversification that works.

Many fund managers are turning to alternatives as a more reliable diversifier, such as property, infrastructure and private equity. However, any adviser considering a fund with alternative assets should keep in mind that not all alternatives are the same, and they perform differently under different market conditions.

The concept of diversification has changed in recent years; this guide which is worth an indicative 60 minutes' CPD, aims to guide you through.

In this guide

CPD
Approx.60min

Please answer the six multiple choice questions below in order to bank your CPD. Multiple attempts are available until all questions are correctly answered.

  1. According to the first feature, government bonds are still seen as a great diversifier against equities, true or false?

  2. According to Matthew Yeates, in the first feature, what is the optimum diversification breakdown of assets?

  3. According to the second feature, which of the following is NOT an alternative asset?

  4. According to Tom Elliott in the third feature, what does 'de-risking' mean?

  5. Rising inflation will push up bond yields, true or false?

  6. In the fourth feature, why, according to Adrian Lowcock, should equity income assets be kept?

Nearly There…

You have successfully answered all the questions correctly, well done!

You should now know…

  • Describe some of the challenges with building a multi-asset fund currently
  • Explain the issues with government bonds
  • Identify ways to diversify in the current situation

I completed this CPD in

To bank your CPD please complete the form below.

Were the stated learning objectives met?

Why weren't they met?

What did you learn from undertaking this CPD exercise?

Why did you undertake this piece of learning?

Any comments about this article or FTAdviser's CPD in general?

Banked!

Congratulations, you have successfully completed and banked this piece of CPD

Already Banked!

You have already banked for this article.

To bank your CPD you must or

Register

One or more questions have been incorrectly answered,
 please review your answers and try again.

Please complete all the above text fields to bank your CPD.

More Investments CPDSee my completed CPDSee all CPD