Pictet AM has expanded its range of total return funds with the launch of Pictet Total Return-Atlas Titan, a long/short global equity directional fund, domiciled in Luxembourg, under UCITS regulations. It is quoted in EUR, with daily valuation and liquidity, authorised in Austria, Belgium, Denmark, Finland, France, Italy, Luxembourg, Norway, Netherlands, Portugal, United Kingdom, Singapore and Sweden.
It is the adaptation of a successful fund launched previously, Pictet TR-Atlas, with a higher return objective, accompanied by more risk. Specifically Pictet TR-Atlas Titan has an unguaranteed target return between 5% and 9% after commissions, with volatility around 5%.
The fund complements Pictet AM’s wide range of UCITS alternative funds, which amounted to over 9 billion euros under management by August 2020. This includes four other market-neutral funds: Agora (European equities), Akari (Japan equities), Diversified Alpha (multi-strategy) and Aquila (global equities). The long short funds Corto (European), Mandarin (Chinese), Atlas (global) and Sirius (long/short emerging debt) are also part of this range.
The objective of the new fund is to achieve long-term capital growth, protecting it in bearish situations. To do this, it selects companies that suffer price anomalies in different geographical areas of developed and emerging markets. It combines a comprehensive macroeconomic analysis, with indicators as economic cycle and liquidity conditions, with selection by fundamentals of companies that enjoy liquidity.
This new fund may be of interest for the conservative equity investor that is willing to accept higher level of risk to obtain a higher return, maintaining and adjusted level of risk/return and an efficient protection in bearish markets.
The fund is managed from Geneva by Matthieu Fleck and a team formed by Adrien de Susanne d’Epinay, Yassine Fki and Philip Wilson, with support from extensive Pictet AM resources. The team already has a long and successful track record managing the previously fund Pictet Total Return Atlas, launched in November 2016.
“Volatility persists in global equity markets, fuelled by ever shorter economic cycles, stubborn uncertainty and distortions from the unprecedented intervention of central banks and governments. All of these factors support our long/short approach, which takes into account the macroeconomic environment and a rigorous securities analysis to assess the price-to-fundamentals ratio”.Matthieu Fleck