Toronto-based Invesco Ltd. announced on Tuesday that it’s launching Invesco Balanced-Risk Allocation Pool, Series F, which is available for sale to Canadians who qualify as accredited investors and work with fee-based advisors.
The pool is an actively managed, multi-asset portfolio that aims to deliver a positive total return to investors with a low to moderate correlation to traditional financial market indices.
Given the recent increases in interest rates in the U.S. and Canada, it’s evident that historically easy monetary conditions are slowing, Invesco stated in a news release.
As fundamentals, rather than liquidity, begin to drive share prices, investors may soon face increased volatility, the release added. In this scenario, uncertainty has become a dominant investment theme.
The primary focus of Invesco Balanced-Risk Allocation Pool is to build a portfolio that may perform well in diverse economic environments — recessionary, non-inflationary growth and inflationary growth — while balancing the amount of risk contributed by its exposure to equities, fixed-income and commodities allocations.
“Increasingly, alternative investments are being used to insulate and protect portfolios from traditional equity and interest-rate risk,” says Scott Newman, vice president and team lead, global investment strategies, Invesco Canada, in a statement. “This adoption continues to grow with many institutional investors around the world, and we are pleased to offer the pool to accredited retail investors to allow access to true risk-parity investing.”
The pool is the second alternative offering Invesco has made available to accredited investors who work with a fee-based advisor. The first was Invesco Global Targeted Returns Pool, Series F, launched on June 1, 2016.
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