The firm writes that the fund, managed by the MSIM Hedge Funds team, leverages a diversified set of investment strategies across different asset classes, including equity, fixed income, cash equivalents, currencies and commodities, targeting market neutral performance at an annualised volatility of 8 per cent over the long-term.

Eban Cucinotta, portfolio manager and head of portfolio construction and quantitative analytics for the MSIM Hedge Funds team says: “We have used systematically driven, academically-based alternative sources of return in our custom portfolio solutions for many years and believe them to be an integral part of an investor’s toolkit. We are excited to bring to market the Systematic Liquid Alpha strategy which we believe offers efficient access to these potentially diversifying exposures, in a daily dealing UCITS wrapper after managing the strategy live since August 2018 in offshore vehicles.”

MSIM writes that its Hedge Funds team has over 20 years experience leveraging their size, scale, and expertise to deliver a unique set of exposures and portfolio solutions to a global client base. With over USD25 billion in assets under management/advisement, the team seeks to generate attractive, uncorrelated risk-adjusted returns to meet evolving investor objectives.

Rob Lunn, head of UK distribution at MSIM says: “We are delighted to bring this compelling strategy to the UK market. Designed for investors interested in gaining access to alternative asset classes, the Systematic Liquid Alpha Fund’s multi-asset approach and experienced management team make it an appealing option for investors looking to diversify their portfolios and reduce volatility. By focusing outside of traditional asset classes, the Fund offers investors seeking portfolio diversification broad exposure to market neutral factors in a liquid format.”

“We expect these new funds to appeal to clients due to the strength of the investment themes and the team’s proprietary investment process, an active and systematic approach that has been developed and enhanced over more than 19 years.”

The new range comprises:

Jupiter Systematic Disruptive Technology Fund

Jupiter Systematic Consumer Trends Fund

Jupiter Systematic Healthcare Innovation Fund

Jupiter Systematic Demographic Opportunities Fund

Jupiter Systematic Physical World Fund.

The firm writes that the six-strong investment team is led by Amadeo Alentorn, who has been instrumental to the investment approach since inception, having joined the team in 2005. The members of the wider team have worked with each other, and on the investment approach, for an average of 11 years. They will be supported by Jupiter’s eight-strong in-house Data Science team, as well as the firm’s external network of experts and academics.

Amadeo Alentorn, Head of Systematic Equities at Jupiter Asset Management, says:

“We are excited to bring to market what we believe is a truly differentiated range of systematic thematic funds. There have been strong inflows into thematic investing in the last decade and asset managers have sought to differentiate themselves by increasingly narrow specialisation, which has led to more volatile returns.

“We do not differentiate our thematic funds through over-specialisation of theme, but through our unique, active and systematic investment process. While we are fund managers, we are also computer programmers and have developed over many years our own sophisticated software to swiftly and continuously analyse large amounts of data on a broad universe of stocks. This increases diversification and can help to stabilise returns.”

Kiran Nandra, Head of Equities at Jupiter Asset Management, says: “Launching a range of thematic equities funds is a strategic priority for the firm and the investment themes we have chosen are at the cutting edge of structural change on a global scale. The strategies also have a flexible investment style, which means they can balance exposure to value and growth in accordance with prevailing market conditions. They will include cyclical and defensive components and seek active alpha opportunities over the whole economic cycle.

“The systematic equities team are well-placed to manage this unique proposition, given their deep experience and proven expertise at a time when technology is redefining opportunities for investment managers and their clients.”