The Perpetual Diversified Real Return Fund has been issued a “4 IP” rating by Research IP, with a score of 4.02/5.
The Perpetual Diversified Real Return Fund (“the Fund”) will invest in a diversified range of asset classes which are weighted according to the level of risk they contribute to the portfolio. Assets will be managed to effectively diversify these risk exposures. The combination of assets held by the Fund at any time are those which we believe provide the greatest probability of achieving the target return over rolling five-year periods. We may quickly adjust the Fund’s asset allocation to respond to changing market conditions and/or to take advantage of new opportunities.
What is the Fund’s competitive advantage?
Qualitative Research Report and Data Tear Sheet
Research IP says
“Michael O’Dea is accountable for all final decisions in the portfolio. A notable aspect of his background is his experience in working in hedge funds. O’Dea believes he is able to make the most of this background in assessing the risk/return of certain strategies in a portfolio context. This derives from his understanding of the different types of alternative strategies accessible in the market currently and from his experience in previous roles.”
“The team has a vast amount of experience overall, importantly much of this is in the multi-asset space. Several have worked together previously. The team have worked at Perpetual for over 9 years on average. The team is not large relative to the FUM it manages (particularly with the recent addition of Pendal funds). This is done deliberately, with the belief that a tight team allows for decisions that can be discussed and acted upon more efficiently.”
“The asset allocation framework is crucial to understand how decisions are made by the Manager. There is no strategic asset allocation, instead the portfolio is anchored around four specified quadrants. In Research IP’s opinion, this is not a common approach in the multi asset space and Perpetual has built an effective process around the concept. The quadrants are Inflation protection, Return seeking, Diversifying opportunities, and Downside protection. The attractiveness of these quadrants is continuously assessed and invariably changes through the cycle.”
Research IP, 23 April 2024
If you have any questions in relation to this report or the Research IP services, please contact us here.
Disclaimer, Disclosures and Warnings
Research IP strongly recommends this document and report be read in conjunction with the relevant Product Disclosure Statement. Research IP gives no warranty of accuracy or completeness of information in this document. Any information, opinions, views or recommendations are general information only and do not take into consideration any person’s particular financial situation or goals and therefore does not constitute financial advice. This document should not be relied upon as a substitute for financial advice from your financial adviser.