Heartwood goes on defensive with multi-asset fund launch

Heartwood Investment Management is launching a defensive fund as part of its multi asset range, for manager Martin Perry.

The CF Heartwood Defensive Multi Asset fund, which will be the sixth in the range, aims to preserve the capital value of a portfolio  by investing in lower-risk assets such as government bonds, but will also gain exposure to other asset classes including corporate bonds, commercial property and equities.

As with other funds in this range, the Defensive MAF is structured as a non-Ucits retail scheme (Nurs), which gives the fund greater flexibility than a Ucits vehicle in terms of investing, while offering the same level of protection to UK investors.

Noland Carter, Heartwood’s chief investment officer, said: ‘We launched our defensive model to clients in 2009, and since then it has produced annualised performance of 8.7%, so we are delighted to be able to offer a defensive strategy in fund format.

‘We now have a comprehensive set off funds to complement our existing offering on a segregated basis, making our expertise available to a wider range of investor. Our range of lower risk strategies provides a compelling proposition in this volatile environment.’

Over £567 million is invested in the Multi Asset funds, marking a year-on-year increase of 16%. These funds account for nearly 50% of Heartwood’s discretionary assets under management, and 89% of discretionary clients.

As at the end of January 2012, Heartwood’s total funds under management and administration were approximately £1.4 billion.