Zenith awards recommended rating to CFM



Zenith Investment Partners has awarded a recommended rating to the CFM ISDiversified Trust due to its alternative beta strategy which strongly resonated in the Australian market.
Also, funds under management (FUM) had grown to $47 million since the fund's introduction in November, 2015.
According to Stephen Robertson, a founding partner and managing director of Winston Capital which is the Australian distributor of the CFM diversified alternative beta fund, the Zenith's rating reflected an increasing value placed by financial advisers on strong alternative beta investments.
"The entry of high-quality global managers like CFM into the retail marketplace has enabled financial advisers to access true-to-label investments with proven track records of delivery against defined risk and return objectives," he said.
Head of CFM Asia Pacific, Steve Shepherd stressed that Zenith's rating marked a strong year for CFM, as financial advisers looking for "true-to-label alternative solutions" recognised the attributes of a fund's diversified portfolio.
"The fund has been designed to offer investors a diversified portfolio of well-known and persistent alternative strategies that can be systematically harvested from markets, but at a fraction of the cost of the typical ‘2 and 20' model, and with greater liquidity," he said.
"These attributes have been recognised by financial advisers looking for true-to-label alternative solutions that aim to have zero correlation to equity and bond markets, whilst aiming to deliver returns of cash plus five per cent per annum, with constant volatility of six per cent per annum."
Recommended for you
Retailisation of private markets such as evergreen funds may seem like appealing options for wholesale and retail investors, but providers risk undermining trust if their products are unclear.
Ethical investment manager Australian Ethical has seen its funds under management rise by a third over FY25 to close out the year at $13.9 billion.
BlackRock Australia’s head of intermediary distribution James Waterworth has taken up a new distribution role at an alternative asset manager, while Antipodes has hired a distribution director.
BlackRock’s iShares ETFs have reported a record first half for inflows, gaining US$192 billion in the past six months, to see overall ETF assets under management rise to US$4.7 trillion as it launches its first active ETF in Australia.