Objectives and Investment Policy
The Sub-fund aims to deliver capital growth and income through an exposure to equities of up to 80% measured over a period of at least 5 years.
In order to achieve the investment objective, the Sub-fund will invest at least 80% of the Sub-fund’s investments in fixed income securities, equities and alternatives. No more than 80% will be invested in equities either directly or indirectly through equity funds.
At least 80% and up to potentially 100% of the Sub-fund’s investments will be indirect through other funds. The other funds may be passive funds (that is funds which track or are closely linked to the performance of an index) or funds which are actively managed, there will not be less than 60% invested in passively managed funds at any one time. It is the intention to invest no more than 35% of the allocation into actively managed funds managed by the ACD or sponsored by RBC Europe Limited. Through its investments in these funds, the Sub-fund will have a high exposure to equities (shares in companies), whilst the remainder will be split between exposure to fixed income securities (bonds) and alternatives (such as real estate,
commodities and infrastructure).
The Sub-fund may also invest directly (at the Investment Managers’ discretion) in equities and equity like instruments (which may include shares in investment trusts and REITs), fixed income securities, money market instruments, depositary receipts and cash. The fixed income securities and money market instruments to which the Sub-fund may seek exposure may be issued by companies, governments, government agencies and supranationals (such as the International Bank for Reconstruction and Development). They can be investment grade (meet a certain level credit rating by a credit rating agency) or they may be unrated (and hence more likely to fail than investment grade bonds).
The Fund may also make use of derivatives, which are sophisticated instruments whose value is linked to the rise and fall of other assets. The Fund can use derivatives for the purpose of hedging and efficient portfolio management only, with 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 five years.
For full investment objectives and policy details please refer to the Prospectus.
