MI Select Managers Alternatives Fund

Objectives and Investment Policy

The Fund aims to provide a positive return (from investment growth and income) on a rolling five-year basis, by investing flexibly in a broad range of investments.

A positive return is not guaranteed over five years or any period and you could lose money.

The Fund can invest globally (including in emerging markets).

The Fund will typically be invested (directly or indirectly) 70% or above (but a minimum of 50%) in alterative assets such as commodities (including gold and other precious metals), real estate, private equity, and absolute return strategies. The Fund may also have exposure to company shares, bonds, debt, cash and near cash. Allocations may vary significantly and exposure to certain asset classes, markets, sectors or currencies may be concentrated from time to time, in response to market conditions and opportunities.

The Fund can invest up to 15% in other investment funds (which may include those that are managed or operated by the ACD or an associate of the ACD).

Bonds are like loans that pay a fixed or variable rate of interest issued by governments, companies and other large organisations worldwide. Bonds are classified by rating agencies for their creditworthiness: those rated ‘investment grade’ generally carry a relatively low risk of default but also tend to offer lower yields than ‘non-investment grade’ bonds which, in turn, generally have a higher risk of default but also tend to offer higher yields.

The Fund has a multi-manager structure, which means that its assets are managed by a number of specialist investment managers, appointed and monitored by the Fund’s Asset Allocation Manager. Each of these investment managers has discretion to select investments for an assigned portion of the Fund’s assets.

The Fund can use derivatives, which are sophisticated instruments whose value is linked to the rise and fall of other assets, for investment purposes to generate market exposure that exceeds the value of its assets and for the purposes of hedging and efficient portfolio management, with the aim of managing risk and cost.

You can buy and sell shares on any business day in London.

Recommendation: this Fund may not be appropriate for investors who plan to withdraw their money within 5 years.

For full investment objectives and policy details please refer to the Prospectus.