Schroder Asian Total Return Investment Company (ATR) is a unique Asian equity portfolio with an unconstrained absolute return approach which seeks to harness the upside from equities in the region over the long term whilst using derivatives to eliminate the ‘noise’ of market and country risk.
The £290m trust, managed by Robin Parbrook and Lee King Fuei, aims to generate returns via a diversified portfolio of around 60 holdings in Asia – including Australia but excluding Japan – with a bias toward smaller and mid-cap stock, which the managers prefer because they are less well researched.
ATR has much in common with its open-ended counterpart – the $2.1bn Schroder ISF Asian Total Return fund – which is closed to new business. The fund has delivered total returns of 321% since it was launched in November 2007, three times as much as the MSCI AC Asia Pacific ex Japan index, while protecting capital well during negative markets.
Since Schroders took control of the trust, winning shareholder approval in March 2013 the team has produced excellent results; delivering higher annualised returns than the MSCI Asia Pacific ex Japan index and the average fund in the peer group AIC Asia Pacific ex Japan sector, a lower maximum drawdown, much lower beta (0.64%) and much higher annualised alpha (4.54%) than the average trust in the sector (0.84% and 0.96% respectively).
Kepler Trust Intelligence provides research and information for professional and private investors. In order to ensure that we provide you with the right kind of content, and to ensure that the content we provide is compliant, you need to tell us what type of investor you are.Read the full article
Fund History: Schroder Asian Total Return Investment Company
With Asian markets looking increasingly toppy, we find out how Schroders' Asian Total Return Investment Company aims for absolute returns, protecting capital and managing volatility via an active c...
We meet the new chairman of the unique trust, which mirrors the soft-closed £1.4bn Schroder ISF Asian Total Return fund...
The natural resources sector is changing: investors may want to rethink their long-held views..
Investment trusts are particularly suited to multi-asset strategies. Our research identifies the leaders in this increasingly popular field...