The Challenger Solutions Liquid Alternatives Balanced Fund has delivered a strong return of 15.2%, gross of fees¹ in its first year.

This performance highlights the strength and effectiveness of the fund's investment strategies and has proven its ability to generate positive absolute returns with low correlation to traditional asset classes.

Impressive Returns

From inception on 14 July 2022 until 30 June 2023, the fund has delivered a return of 15.2%, gross of fees¹ with a volatility of 3.3%² outperforming its benchmark (AUD cash) by 12.3% The fund performed well during a turbulent period for equity and fixed income markets and delivered positive returns in months when those assets classes were both positive and negative.

“We have spent the last 6 years researching and improving our philosophy and process around systematic investing for mandate clients. The culmination of that effort is the creation of this fund which reflects our best ideas for strategies and portfolio construction." Josh Heller, Head of Solutions.

Diverse investment alternatives

The fund is a multi-strategy systematic investment fund designed to generate positive absolute returns over cash in the medium to long term. The fund invests in a broad selection of systematic strategies such as relative value, momentum and carry across equities, credit, interest rates, FX, and commodities. This diversified approach enables the fund to capture opportunities across different market conditions.

A balanced and uncorrelated portfolio

The fund’s investment strategies are classified into defensive, neutral, and return-generating categories. These strategies are carefully sized and balanced to construct a portfolio that maintains a low correlation to traditional asset classes. Through effective risk management and optimising returns, the fund provides a solid foundation for investors seeking a diversified investment solution.

Liquidity

Investor liquidity is a crucial consideration when selecting investment options. The fund provides investors with the flexibility to apply for or redeem their investments on a daily basis with one business day's notice.

Risks

Investments in the Fund are subject to investment risk and potential loss of principal invested. Accordingly, the performance, the repayment of capital or any particular rate of return on your investments are not guaranteed by any member of the Challenger Group. The fund employs derivative strategies to generate returns.

About Challenger Solutions

Challenger Solutions is an experienced alternative investment and derivatives specialist using differentiated, non-correlated strategies that seek to offer compelling, risk-adjusted returns.

Find out more about the Fund

¹ Past performance is not a reliable indicator of future performance. Past performance figures that are less than 12 months are for informational purposes only and are not to be relied upon when considering the likely future performance of the fund. Fees and costs apply.

² The volatility of the fund is less than 1/5 of the volatility of the MSCI World over the same period (18.2%). This is based on daily returns over the 5 year period to 30 Jun 2023.