Investment Philosophy

The Strategic Alpha Fund reflects the Allenbridge team's best fund ideas for capital growth. The strategic core of the portfolio will be invested in UK equity funds and further complemented with overseas equity managers.

In addition, the Fund may also invest a proportion in specialist vehicles to provide an additional source of ‘alpha’ (the superior return of the Fund relative to its benchmark index), and this may include alternative asset classes.
The Fund's benchmark is the IMA Active Managed Sector.

Why invest in the EFA Allenbridge Strategic Alpha Fund?

Enhanced performance through active asset allocation and fund manager selection

With over 5,000 eligible funds to choose from, a fund of funds vehicle allows our team of fund research specialists to ‘cherry-pick’ the best talent and blend different manager styles together in order to enhance returns and manage risk. In addition, on-going active management allows us to take a view on regional allocations and re-position managers accordingly. This dynamic adjustment can help enhance capital returns.

Diversification of Risk

By investing in a broad spectrum of funds, the portfolio is not reliant on one underlying fund manager, sector or geographic region. This reduces volatility and provides a wide spread of underlying share holdings through the funds selected. Strategic Alpha is designed for growth investors and invests in funds across global equity markets, with a core in UK funds. The portfolio is further diversified with exposure to alternative investment funds which can include commodities, hedge funds, private equity and property. The portfolio may also invest in cash and fixed interest securities during periods of severe equity market turbulence.

Consolidation

Many investors find themselves with an inefficient combination of individual funds in their portfolio, which can be a drag on overall performance and may also put their capital at increased risk. Strategic Alpha can provide a portfolio of funds in one vehicle, offering simplicity, and allowing investors to use the Fund as their primary investment.

Tax efficiency

Gains realised within the Fund (for example, selling one fund in profit and buying a replacement) are exempt from capital gains tax, thus greatly freeing up the individual allowance and making tax planning more effective. This is particularly useful for trusts with their limited capital gains tax allowance.