BNY Mellon IM Launches Multi-Strategy Absolute Return Fund

Dec 9 2015 | 8:14pm ET

BNY Mellon Investment Management has launched a new multi-strategy absolute return liquid alternative fund.

The new fund, named the BNY Mellon Absolute Insight Multi-Strategy Fund, will trade under the ticker MAJIX. It is sub-advised by Insight Investment, a BNY Mellon investment boutique with $605 billion under management globally, including $27 billion in liquid alternative strategies.

MAJIX is the first mutual fund launch in the U.S. to be managed by Insight. It is substantially similar to Insight's flagship multi-strategy absolute return capability, which has a 10-year track record of providing absolute returns through episodes of market dislocation, according to the company. The new fund is designed to incorporate the institutional-quality investment and governance processes that apply to all of Insight's absolute return range.  

The fund will emphasize capital preservation as it seeks to generate positive returns over rolling 12-month periods accompanied by volatility similar to conservative fixed income assets and exhibiting low correlation to both stocks and bonds.  It will invest across a diverse range of six absolute return investment strategies including equities, fixed income, currency and other asset classes, with the aim of reducing the risk of capital loss from sudden market downturns. 

The new fund will be managed by Sonja Uys, a member of Insight's Absolute Return Investment Committee, and a number of specialist portfolio managers responsible for the underlying portfolios.

"The BNY Mellon Absolute Insight Multi-Strategy Fund combines Insight's disciplined institutional approach to absolute return investing with the 10-year track record from one of our flagship strategies,” noted Svein Floden, Head of Liquid Alternatives at Insight.

"The launch of the BNY Mellon Absolute Insight Multi-Strategy Fund means that U.S. investors will have access to Insight's deep experience in providing absolute return investment strategies to investors within a cost-efficient, single-manager structure," added Joseph Moran, EVP and head of intermediary sales for BNY Mellon Investment Management.

MAJIX will be available in Class A, C and I shares with initial minimums of $1,000 and as institutional Y shares with an initial minimum of $1,000,000. 

BNY Mellon is one of the largest wealth management organizations in the world, with $1.6 trillion in assets under management. Its Insight Investment was founded in 2002 and domestic and global fixed income, absolute return and unconstrained strategies and solvency management and solutions. 

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