Newton’s Absolute Intrepid Fund moves into new IMA sector

The Newton Absolute Intrepid Fund has moved from the Active Managed Sector to the new Investment Management Association (IMA) Absolute Return Sector.

The £365 million Newton Absolute Intrepid Fund aims to capitalise principally on strong equity and bond ideas, while at the same time using other assets and derivatives to smooth returns and protect on the downside. Newton believes this could be an ideal vehicle for investors in an increasingly volatile market.

Iain Stewart, Director of Investment Management at Newton said: “It’s a fairly simple product - rather than using passive diversification, the fund draws on our global thematic investment process, which has served our multi-asset clients well for more than 20 years. The resulting portfolio is a highly active and focused list of assets which reflects Newton’s views about the world, constructed with a strong emphasis on value and capital preservation."

Paul Feeney, Head of International Distribution for BNY Mellon Asset Management, the distributor of the Newton managed range of pooled funds, said: “The IMA’s new Absolute Return Sector is the logical home for the fund and should allow financial advisers and their clients to better understand the fund's distinctive approach to investing for absolute returns. As we move into a lower return environment, we expect to see a greater demand for absolute return type offerings."

The objective of the Fund is to achieve positive real rates of return from a portfolio of UK and international securities over the longer term.

The Fund will continue to be managed by Iain Stewart, an investor with over 22 years experience of managing money, and the Newton Investment team.

The IMA announced the launch of the new Absolute Return Sector on 28 April, 2008.

For more information, visit newton.co.uk