Three absolute return funds among raft of recent launches

Three absolute return funds were among a raft of launches seen last week despite the IMA reporting the highest outflows on record from the sector in August.

AXA Investment Management, BlackRock and Kames Capital all launched absolute return funds, which are designed to produce less volatile returns than long-only portfolios in declining markets. BlackRock, noted for its expertise in equity absolute return, made its first foray into the AR fixed income space with the launch of the Absolute Return Bond fund for Ian Winship. It targets positive performance above cash in all market environments using derivatives. Tony Stenning, head of BlackRock’s UK retail business, said: “BlackRock has a strong pedigree in the absolute return sector, hav...