Flexible and dynamic multi asset strategy designed to deliver attractive absolute
and risk-adjusted returns
The Multi Asset strategy has the full flexibility to invest across the breadth of opportunities generated by Guggenheim’s $198 billion* investment platform. The strategy seeks to deliver attractive absolute returns while reducing volatility and drawdowns over full market cycles. The strategy seeks to invest across the full spectrum of the fixed income markets and tactically allocates to equities and alternatives as changing market conditions generate undervalued investment opportunities.
Strong Track Record** and Rigorous Risk Management
The strategy has delivered net returns of 7.9% per annum since inception in 2007. Risk management is embedded in every step of our investment process, helping the strategy deliver these strong returns with low volatility.
The Multi Asset strategy employs a flexible, dynamic investment approach designed to incorporate Guggenheim’s rigorous bottom-up security research and extensive macroeconomic insight.
Our fixed income investment professionals use a fundamental credit-intensive research process that incorporates our deep knowledge of security types, industries, structures and issuers.
We invest across the full spectrum of the fixed income market, including asset-backed securities, investment grade and high yield corporates, bank loans, residential and commercial mortgage-backed securities and municipals. Many of the securities we research are complex and underfollowed by other market participants.
To capitalize on inefficiencies across different markets and align the strategy’s positioning with our macroeconomic and capital markets views, we use a combination of common stocks, ETFs and derivatives to gain long and/or short exposure to equities and alternatives across global markets.
Derivative instruments are also used to provide downside protection or take advantage of specific market events like changing interest rates and credit spreads.
Solution for Current Environment
Currently, yields for traditional fixed income securities are at historically low levels while many investors are concerned about interest rate volatility and equity valuations. Combining rigorous bottom-up research in underfollowed fixed income segments with the opportunistic use of equities and alternatives enables the strategy to deliver attractive absolute and risk-adjusted returns with a high current yield in this challenging market environment.
The Multi Asset strategy is available as a private commingled fund. For more information, please contact us
*Guggenheim Investments total asset figure is as of 12.31.2015. The assets include leverage of $12.0bn for assets under management and $0.5bn for assets for which we provide administrative services. Guggenheim Investments represents the following affiliated investment management businesses: Guggenheim Partners Investment Management, LLC, Security Investors, LLC, Guggenheim Funds Investment Advisors, LLC, Guggenheim Funds Distributors, LLC, Guggenheim Real Estate, LLC, Transparent Value Advisors, LLC, GS GAMMA Advisors, LLC, Guggenheim Partners Europe Limited and Guggenheim Partners India Management.
**As of 9.30.2015. Net returns are calculated by reducing gross returns with a model fee that includes 1) the greater of a) the highest management fee charged to an account in the Composite or b) the highest tier of the current management fee schedule, and 2) estimated performance fees where applicable.
Risk Considerations: Past performance is not a guarantee of future results. Investing involves risk, including the possible loss of principal. There is no guarantee that any investment strategy will achieve its investment objectives or is suitable for all investors. Diversification does not ensure profit nor protect against loss. Every asset class is subject to various risks that affect their performance in different market cycles. Fixed income investments are subject to certain risks including market, interest-rate, issuer, credit, and inflation risk. Equity investments are subject to market risk or the risk of loss due to adverse company and industry news, or general economic decline. Alternative investments are subject to market risk, currency risk, foreign investment risks, liquidity risks, higher fees and expenses, regulatory restrictions, and volatility due to speculative trading and use of leverage.