How can my investments do well in an ever-changing world?
Consider a flexible, disciplined and well-established approach that aims to capture investment opportunities regardless of market conditions using asset valuation insight and behavioural analysis.
Three reasons why investors should consider the M&G (Lux) Episode Macro Fund
The value of investments will fluctuate, which will cause prices to fall as well as rise and you may not get back the original amount you invested.
Agility
- A tactically allocated portfolio of equities, fixed income securities and currencies to help navigate volatility.
- A transparent and highly liquid fund
Flexibility
- Long / short approach that aims to profit from either increases or decreases in market prices, making it well suited for uncertain market environments
Commitment
- A total return approach aims to provide 4-8% above Secured Overnight Finance Rate
- Same Lead Portfolio Manager since inception
- Seasoned investment team with a proven investment approach through 20+ years of market cycles and crises
Markets aren’t always efficient
From time to time, behavioural-driven price action presents exploitable trading opportunities (or ‘Episodes’). The Episode Macro strategy is built on this premise. Correctly identifying these episodes allows us to respond to periods of volatility and/or take contrarian views to buy into markets that appear oversold and cheap, or short markets that are expensive and complacent about risks.
Where does Episode Macro fit in a client’s portfolio?
M&G Episode Macro strategy was developed as a tactical diversifier. By remaining agile and shifting between equities and bonds, the fund can add diversification to long-only holdings without sacrificing returns. Adding 10% of Episode Macro to a global 60/40 portfolio over the past 5 years would have increased return, reduced overall portfolio risk and improved drawdown outcomes in 2022 when equities and bonds were correlated.
Maintaining an agile portfolio
Source : M&G, Internal limits are shown for illustrative purposes only and are subject to change.
Awards and Recognition
2024
The Hedge Fund Journal - 2024 UCITS Hedge Awards1
Discretionary Global Macro Fund - Best Performing Fund over 2, 5, 7 and 10 Years
Asia Asset Management - 2024 Best of the Best awards2
Best Global Absolute Return Fund - 3 and 5 years
2023
The Hedge Fund Journal - 2023 UCITS Hedge Awards1
Global Macro Discretionary - Best Performing Fund in 2022 and over 2, 3, 4, 5, 7 and 10 Years
1Source: The Hedge Fund Journal: 2024 UCITS Hedge Awards, 2023 UCITS Hedge Awards
2Source: Asia Asset Management: 2024 Best of the Best awards
Awards are not an indicator of future performance
Key risks associated with M&G (Lux) Episode Macro Fund
The value and income from the fund's assets will go down as well as up. This will cause the value of your investment to fall as well as rise. There is no guarantee that the fund will achieve its objective and you may get back less than you originally invested.
The fund can be exposed to different currencies. Movements in currency exchange rates may adversely affect the value of your investment.
The fund may use derivatives to profit from an expected rise or fall in the value of an asset. Should the asset’s value vary in an unexpected way, the fund will incur a loss. The fund’s use of derivatives may be extensive and exceed the value of its assets (leverage). This has the effect of magnifying the size of losses and gains, resulting in greater fluctuations in the value of the fund.
Investments in bonds are affected by interest rates, inflation and credit ratings. It is possible that bond issuers will not pay interest or return the capital. All of these events can reduce the value of bonds held by the fund.
More Information
All forms of investments carry risks and such investments may not be suitable for everyone. This material is for general information purposes only without regard to your investment objectives or financial situation and should not be interpreted or constituted as an offer, solicitation, recommendation or advice to buy or sell securities or pursue any particular investment strategy or investment product in any jurisdiction or country, nor is it a commitment from M&G Investments (Singapore) Pte. Ltd. to participate in any of the transactions mentioned herein. Nothing in this material constitutes accounting, legal, regulatory, tax or other advice.
The M&G (Lux) Episode Macro Fund is a sub-fund of M&G (Lux) Investment Funds 1, an open-ended investment company established in Luxembourg. M&G (Lux) Investments Funds 1 has appointed M&G Investments (Singapore) Pte. Ltd. as its Singapore representative and agent for service of process. The value of investments and the income from them can fluctuate and is not guaranteed. Rates of exchange may cause the value of investments to go up or down. Investors may not get back the amount they invest. Subscriptions in the fund are valid only if made on the basis of the current prospectus and product highlights sheet available on our website at mandg.com/sg and you must read these documents before deciding whether to invest. This advertisement has not been reviewed by the Monetary Authority of Singapore.