Diversified funds investments

BT Investment Management’s diversified funds aim to achieve consistent returns for different levels of investment risk chosen by investors. BT IM offers a range of diversified funds, which are defined by their level of strategic allocation to capital growth (shares and property securities), income generating assets (cash and fixed interest) and alternative investments. The volatility of performance of any given diversified fund is largely dependent on the specific asset allocation of the particular fund. BT IM seeks to add value within each of the asset classes invested in, using our stated investment process.

BT IM’s portfolio management team is responsible for the overall management of our range of diversified portfolios. They also review and set the strategic asset allocation benchmarks and ranges for all of our diversified funds.

We place significant importance on determining the optimal long term strategic asset allocation and disciplined rebalancing. BT IM conducts formal reviews every 18 months and modifies the strategic benchmark settings as appropriate to reflect changing investor preferences, changing market environment and new opportunities for diversifying risk. Reviews are also conducted in periods of extreme market volatility or structural change. In addition, active tactical positions overlays are run on all BT IM diversified fund portfolios.

Our diversified funds are ideal for investors seeking a portfolio that spreads their money across a variety of asset classes constructed to deliver long term returns to build wealth, while managing sharemarket volatility and providing some income.

We also offer individually tailored diversified portfolios for larger, institutional clients. These include 'new generation' diversified funds where BT IM adjusts the mix of alpha/beta or ratio of manager skill/market return in the portfolio.