BNY Investments, part of The Bank of New York Mellon Corporation (“BNY”) (NYSE: BK), a global financial services company, today announces the launch of the BNY Adaptive Risk Overlay Fund (the “Fund”) available to UK and European investors.
The BNY Adaptive Risk Overlay Fund is managed by BNY Investments Newton (“Newton”), a leading specialist multi-asset and equity asset manager and a subsidiary of BNY Investments.
The Fund seeks to achieve positive returns during periods of significant global equity market volatility and aims to provide investors with a tail-risk hedging solution in a pooled vehicle, an innovative proposition within the UCITS framework. It is intended to serve as a diversifying overlay, complimenting an investor’s core holdings in their portfolio.
The Fund will be managed by portfolio manager Lars Middleton, who will draw on Newton’s longstanding multi-asset expertise and capabilities developed over three decades of managing both tactical and systematic hedging solutions. The launch complements Newton’s collaboration with Bank of America in developing the Newton Adaptive Risk Overlay Index[1], a custom investable index.
“We are increasingly hearing demand for a liquid tail-hedging solution that helps to better manage portfolio risk during times of increased uncertainty”, said Gerald Rehn, Head of EMEA Distribution at BNY Investments. “With this Fund, clients can access daily liquidity and will benefit from Newton’s longstanding track record of over two decades in managing absolute return funds through volatile market periods.”
The Fund is registered for sale in several European jurisdictions including UK, Denmark, France, Germany, Italy, Spain, Sweden, and The Netherlands. More information about the Fund is available here.
