gam mps offering - investors trust€¦ · component of the swiss market index mid (smim) with the...

* Source: GAM. Data as at 31 March 2017.Past performance is not indicative of future returns

About GAM

GAM is one of the world’s leading independent, pure-play asset managers. It provides active investment solutions and products for institutions, financial intermediaries and private investors. GAM employs around 1,000 people in 13 countries with investment centres in London, Cambridge, Zurich, Hong Kong, New York, Lugano and Milan. The investment managers are supported by an extensive global distribution network.

Headquartered in Zurich, GAM is listed on the SIX Swiss Exchange and is a component of the Swiss Market Index Mid (SMIM) with the symbol ‘GAM’. The Group has assets under management of USD 126.8 billion*.

GAM Model Portfolio Service – Key Facts

1 Five volatility-targeted models covering a range of risk/return profiles, from capital preservation to full equity market participation.

2 By investing across five major asset classes, we have the flexibility to provide solutions that match clients’ needs, be they straightforward or sophisticated.

3 In order to achieve the appropriate balance between capital preservation and capital appreciation, within clearly defined risk and return objectives, we follow a rigorous investment process.

4 Risk management is embedded throughout, from selecting the best managers to establishing our asset allocation views and building portfolio.

5 Our five model portfolio strategies can be accessed in a simple unitised structure – the GAM Personalised Collective Account.

3Actively managed, risk-rated portfolios

USD 25,000+ initial investment

4+ years’ track record of the MPS portfolios

£$¤+ different currency options available

GAM MPS OFFERING

How do we manage market unpredictability?

At GAM, we don’t just consider returns when selecting assets to invest in. We also seek to maintain a predetermined level of risk in each portfolio. We believe that such an approach may allow us to predict how an investment is likely to perform.

That’s because in any given year, it can be hard to foresee which asset class will deliver the stronger returns. In contrast, certain asset classes prove, over and over again, to be more risky than others.

Consequently, we believe you can create a much more predictable portfolio by allocating assets according to their expected level of risk rather than their expected level of return. That said, as risk and return are two sides of the same coin, a steady level of risk should generate a corresponding level of return.

Why invest across multiple asset classes?

In recent years, professional investors have begun to realise that markets are no longer as predictable as was once thought.

To mitigate such uncertainty, all our portfolios contain a range of assets. Such variety should make a portfolio more stable, because if one asset starts to fall, another may rise and compensate for any losses.

It can be hard to predict how the various assets will perform in any given year.

Multi-asset investing: Diversified investments with an aim for attractive returns”

The price of investments may go down as well as up and the price will depend on fluctuations in financial markets outside GAM’s control.

As a result an investor may not get back the amount invested.

Past performance is not indicative of future returns.

Which asset class will be tomorrow’s winner is beyond our control as investors, but by managing portfolios according to risk, we can help reduce uncertainty”

When you invest with GAM, you can choose from three different portfolios. The one you pick will depend on the amount of risk you’re willing to take – and the potential returns you’re seeking.

Each of these portfolios may contain up to five different asset classes. Different assets entail different levels of risk and return, so their proportions differ in each portfolio. That way, you can choose a portfolio that strikes the right balance between safeguarding your original investment and helping it to grow.

Different share classes available. Please contact us to discuss your clients’ requirements.

GAM’s Model Portfolios

1There is no guarantee that targets will be achieved. Allocations and holdings are subject to change. Totals may not sum due to rounding.

Soruce: GAM. Allocations and holdings are subject to change. Due to rounding differences, the sum of tables may not reconcile exactly to the totals shown. Data as at 31 Mar 2017.

Volatility Target1: 6.3–8.4% pa

Focus on capital protection with a moderate participation in equity market growth.

Top 5 Strategies

• Specialist fixed income (Atlanticomnium) 10.0%

• Mortgage backed securities (GAM) 9.6%

• Sterling diversified bond (Allianz) 8.7%

• Gold (iShares) 5.2%

• Emerging market debt (Standard Life) 4.4%


Balance of capital protection and participation in equity market growth.

Top 5 Strategies

• Mortgage backed securities (GAM) 6.7%

• Specialist fixed income (Atlanticomnium) 5.5%

• Sterling diversified bond (Allianz) 5.3%

• European large-cap equities growth bias (GAM) 5.3%

• Gold iShares 5.1%


Strong focus on participation in equity market growth with an element of capital protection.

Top 5 Strategies

• European large-cap equities growth bias (GAM) 6.8%

• North American equities growth bias (GAM) 6.7%

• European equities growth bias (Henderson) 6.1%

• US mid-cap equities (Iridian) 6.0%

• Gold (iShares) 5.1%

*Geographical breakdown of the equity allocation

GAM MPS Balanced Portfolio

GAM MPS Growth Portfolio

GAM MPS Cautious Portfolio

GAM Star Cautious GAM Star Balanced GAM Star Growth

Global 5.2%

Europe 15.3%

North American 9.9%

Asia Pacific 3.2%

Japan 5.9%

Emerging 6.4%

Global 7.3%

Europe 20.3%

North American 12.8%

Asia Pacific 4.3%

Japan 6.9%

Emerging 8.5%

Global 9.3%

Europe 23.7%

North American 17.6%

Asia Pacific 5.3%

Japan 8.3%

Emerging 11.7%

Fixed Income 36.1%

Equity 46.0%*

Absolute Return 7.4%

Alternatives 8.1%

Cash 2.4%

Fixed Income 22.3%

Equity 60.1%*


Alternatives 8.1%

Cash 2.2%

Fixed Income 7.7%

Equity 75.9%*


Alternatives 8.0%

Cash 2.1%



5 year anniversary

The GAM Model Portfolio Service will be celebrating its 5th anniversary in Q4 2017. We are pleased to say that all three strategies have a strong track record in delivering appropriate risk and return profiles.

Fund overview

Fund type UCITS

Currency classes USD, EUR, GBP, AUD, SGD

Inception date 24 March 2014 (USD A shares)

ISIN IE00BJ358333

AuM of fund1 USD 299.1m

Dealing day Any business day

Performance 24/03/14 - 28/04/17

13.6% (USD A shares)

Investment Management Company

GAM International Management Ltd.

GAM Star Cautious Performance

GAM Star Cautious – A USDARC Dollar Balanced Asset PCI

-6-4-20246810121416

2014-03-24 2015-03-24 2016-03-24 2017-03-24

Source: GAM, ARC Private Client Indices -https://www.assetrisk.com/research/performance-indices/private-client-indices/. Past performance is not indicative of future performance. Performance is net of fees. Indices cannot be purchased directly. Please see “Disclaimer” for important information contained herein.

GAM Star Cautious

GAM Star Cautious may have a meaningful exposure to fixed interest instruments including government, emerging market, corporate and convertible bonds. The portfolio may also have a considerable allocation to global equities. The remainder of the holdings will be in select absolute return funds which target positive returns uncorrelated to broader risk markets and each other, and alternative investment funds.

1 as at 28 April 2017.

6.0

5.0

1 %

2 %

3 %

4 %

5 %

6 %

Annualised Standard Deviation

-8.1 -8.0-10 %

0 %

Maximum Drawdown

GAM Star Cautious – A USD ARC Dollar Balanced Asset PCI

GAM Star Cautious - A USD Performance history from 24 Mar 2014 to 28 Apr 2017

0 %



Fund overview

Fund type UCITS

Currency classes EUR, GBP, USD, CHF, SGD

Inception date 24 March 2014 (USD, A shares)

ISIN IE00B5NTPS12



Performance24/03/14 - 28/04/17

16.6% (USD, A shares)



GAM Star Balanced Performance

GAM Star Balanced – A USDARC Dollar Steady Growth PCI

-10

-5

0

5

10

15

20

2014-03-24 2015-03-24 2016-03-24 2017-03-24

Source: GAM, ARC Private Client Indices - https://www.assetrisk.com/research/performance-indices/private-client-indices/. Past performance is not indicative of future performance. Performance is net of fees. Indices cannot be purchased directly. Please see “Disclaimer” for important information contained herein.

GAM Star Balanced

GAM Star Balanced may have a significant exposure to global equities. The portfolio may also have a meaningful allocation to fixed interest instruments including government, emerging market, corporate and convertible bonds for capital protection purposes. The remainder of the holdings will be in select absolute return funds which target positive returns uncorrelated to broader risk markets and each other, and alternative investment funds.


7.2

6.8

2 %

4 %

6 %

8 %


-9.7 -9.9-10 %

0 %

Maximum Drawdown

GAM Star Balanced – A USD ARC Dollar Steady Growth PCI

GAM Star Balanced - A USD Performance history from 24 Mar 2014 to 28 Apr 2017

0 %

Fund overview

Fund type UCITS

Currency classes USD, GBP, EUR, CHF, SGD

Inception date 24 March 2014 (USD, A shares)

ISIN IE00BJ358663



Performance 24/03/14 - 28/04/17

18.9% (USD, A shares)



GAM Star Growth Performance

GAM Star Growth – A USDARC Dollar Equity Risk PCI

-10

-5

0

5

10

15

20

25

2014-03-24 2015-03-24 2016-03-24 2017-03-24

Source: GAM, ARC Private Client Indices - https://www.assetrisk.com/research/performance-indices/private-client-indices/. Past performance is not indicative of future performance. Performance is net of fees. Indices cannot be purchased directly. Please see “Disclaimer” for important information contained herein.

GAM Star Growth

GAM Star Growth may have significant exposure to global equities. The portfolio can also have a moderate allocation to fixed interest instruments including government, emerging market, corporate and convertible bonds for capital protection purposes. The remainder of the holdings will be in select absolute return funds which target positive returns uncorrelated to broader risk markets and each other, and alternative investment funds.




-

8.0 8.9

2 %

4 %

6 %

8 %


-10.9-11.8

-10 %

0 %

Maximum Drawdown

GAM Star Growth – A USD ARC Dollar Equity Risk PCI

GAM Star Growth - A USD Performance history from 24 Mar 2014 to 28 Apr 2017

10 %

0 %

What approach do we take to investing?

Active managementGAM’s investment specialists are active managers, meaning they continuously seek out investment opportunities, while trying to minimise the risk of losses.

This active approach is designed to help our clients achieve their particular investment goals. It differs from passive management, where the goal is simply to match the performance of a particular market or index.

Actively managed funds can cost more than passively managed ones. The reason is that you’re paying for someone to handpick your investments, while aiming to mitigate the chance of losses as global markets change and develop.

Active asset allocationIn any portfolio, it is wise to include a variety of assets (equity, bonds, cash etc). This is because different assets can involve different levels of risk, and they may also perform differently at different times. A mix of assets may therefore increase the potential for returns, while reducing the possibility of losses.

At GAM, we don’t see allocating assets in a portfolio as a one-off task. Instead, we continually assess and adjust the proportions of assets our clients hold. That way, we can help them take advantage of short-term opportunities with a view to meeting their long-term investment goals.

Active selection of investment managersWe seek out experienced and talented investment managers and build our model portfolios out of their funds.

Doing so allows us to draw on the expertise of people with unique investment skills and first-hand knowledge of particular markets. As a result, they can respond quickly to developments and seek out the best opportunities to grow returns.

Investors will want to strike the right balance between safeguarding their money and growing their capital. At GAM, we’ve developed a rigorous investment process that’s designed to maintain that balance.

Investment process

GAM’s Model Portfolio Service investment process

Source: GAM, ICI. **Multi asset AUM as at 31 Dec 2016.

Asset allocation

• Led by Larry Hatheway, GAM’s Chief Economist

• Supported by 4 investment professionals

For professional intermediaries use only.

*

*

*

*

*

28FUNDS INVESTED IN GAM STAR MODEL PORTFOLIO SOLUTIONS (MPS)

GAM Star MPS

• With Charles Hepworth, Investment Director navigating the global fund universe

• USD 1.25bn AUM**

*

**

*

*

The global fund universe

• > 1mn different securities across 120 countries globally

• >50,000 different Mutual funds

50,000FUNDS IN THEINVESTMENT UNIVERSE

THERE ARE MORE THAN

*

*

*

**

Fund research

• Led by Kier Boley, Head of Fund Research

• 15 team members • 10,635 active funds on

our horizon

*

*

*

**

143FULLY RESEARCHED FUNDS ON GAM’S WATCHLIST

Due diligence

• Led by Nick Geall, Head of Operational Due Diligence

• Dedicated team of 3 professionals

For professional intermediaries use only.Source: GAM, ICI. **Multi asset AUM as at 31 Dec 2016.

For more information, please visit www.gam.com

Important legal informationSource: GAM, unless otherwise stated.For Broker-Dealer Use Only. This material has not been filed with FINRA and cannot be used as sales literature with members of the public. This presentation has been prepared for sophisticated investors and the funds and views described may not be suitable for all investors.Shares of the fund have not been registered under the US Securities Act of 1933, as amended (the “Securities Act”) and the fund is not registered under the US Investment Company Act of 1940, as amended (the “Company Act”). Accordingly, unless an exemption is available, such shares may not be offered, sold or distributed in the United States or to US persons. However, pursuant to an exemption from registration under the Securities Act and the Company Act, the shares may be sold or resold in the United States or to certain qualified US investors in transactions that do not constitute a public offering.This presentation and the information contained herein does not constitute, and is not intended to constitute, a public offer of securities in any country of Latin America and accordingly should not be construed as such. The presentation is for the use of the addressee only, who has specifically requested it without a promotion effected by GAM and should not be given or shown to any other person (other than employees, agents or consultants in connection with the addressee’s consideration thereof). Prior to investment, it is strongly recommended that a prospective investor seek advice of a consulting body licensed and specialised about the content of this presentation and with his, her or its own legal, business and tax advisors to determine the appropriateness and consequences of an investment for such prospective investor and arrive at an independent assessment of such investment.This material is confidential and intended solely for the use of the person, persons or entities with nationality of or respectively with their residence, domicile or registered office in a State or Country in which such distribution, publication, making available or use is contrary to laws or other regulations, and may not be reproduced, copied or given, in whole or in part, to any other person. It is aimed at sophisticated, professional, eligible, institutional and/or qualified investors/ intermediaries appointed by GAM who have the knowledge and financial sophistication to understand and bear the risks associated with the investments described. Nothing contained herein constitutes investment, legal, tax or other advice, nor is it to be solely relied on in making an investment or other decision. This document qualifies as marketing material.The views expressed herein are those of the manager at the time and are subject to change. The price of shares may go down as well as up and the price will depend on fluctuations in financial markets outside GAM’s control. As a result an investor may not get back the amount invested. Past performance is not indicative of future performance and reference to a security is not a recommendation to buy or sell that security. Holdings and allocations are subject to change. Prices quoted refer to accumulation shares, unless otherwise stated. Historic data may be subject to restatement from time to time. This is not an invitation to invest in any GAM product or strategy. Investments should only be made after a thorough reading of the current prospectus, offering memorandum, the Key Investor Information Document “KIID”, the articles of association and the current annual and semi-annual reports (the “legal documents”), as well as after consulting an independent finance and tax specialist. The legal documents can be obtained in hard copy and free of charge from the addresses indicated below. Some of the sub-funds may not be registered for sale in all jurisdictions. Therefore, no active marketing must be carried out for them. Subscriptions will only be received and shares or units issued on the basis of the current fund prospectus. This material/presentation may mention sub-funds of GAM Star Fund p.l.c., registered office at George’s Court, 54-62 Townsend Street, Dublin 2, Ireland, an umbrella investment company with variable capital and segregated liability between the sub-funds, incorporated under the laws of Ireland and authorised by the Central Bank of Ireland (CBI) as a UCITS Fund in accordance with the Directive 2009/65/EC. Management Company is GAM Fund Management Limited, George’s Court, 54-62 Townsend Street, Dublin 2, Ireland.Within the UK, this material has been issued and approved by GAM London Ltd, 20 King Street, London SW1Y 6QY, authorised and regulated by the Financial Conduct Authority.

May 2017

Pedro JacomeClient DirectorInstitutional & Fund DistributionT +44 (0) 20 7917 [email protected]

Tomás del CampoClient ExecutiveInstitutional & Fund DistributionT +44 (0) 20 7917 [email protected]

Carmen van RoonDirector - Intermediarey Sales Institutional & Fund DistributionT + 1 (1) 212 407 [email protected]

Contact us

ARC Private Client Indices (“PCI”)

ARC PCI is a set of risk-based indices designed to be used by private clients and their advisers in assessing the performance of any discretionary portfolio with a non-specialist mandate. There are four PCI series for each currency, designed specifically for investors with Sterling, US Dollar, Euro or Swiss Franc as their reference currency. These cover the following risk categories.

Private Client IndexRelative Risk to World Equities

ARC Cautious PCI 0 – 40%

ARC Balanced Asset PCI 40 – 60%

ARC Steady Growth PCI 60 – 80%

ARC Equity Risk PCI 80 – 110%

The indices are based on the real performance numbers delivered to discretionary private clients by participating investment managers.

gam mps offering - investors trust€¦ · component of the swiss market index mid (smim) with the...

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