This ongoing strong performance demonstrates the ability of the team to deliver on their objective of consistent and high-quality risk-adjusted returns over time and through varying market conditions.

Expertise in diversifying investments

Spectrum is a multi-strategy systematic investment fund targeting positive absolute returns and is intended to be a diversifying investment. By actively investing in systematic strategies spanning multiple asset classes and a broad range of strategy style, the portfolio managers seek to deliver a differentiated return stream, and their strategy selection and portfolio construction process explicitly incorporates a low correlation objective.

In the two years since launch, Spectrum has delivered positive returns in a range of market conditions including both up and down equity and fixed income markets. Correlation between the daily returns of Spectrum and global equities has been 0.1 and with global fixed income has been -0.6, making Spectrum a potentially attractive diversifying investment for investors with existing exposure to those asset classes.

Liquidity benefits for investors

Because liquidity in the underlying markets and securities is a requirement for a systematic strategy, Spectrum is able to pass on liquidity benefits to investors. Spectrum 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 risks, and performance can be negative as well as positive. Accordingly, neither the performance, repayment of capital nor any particular rate of return on an investment is guaranteed by any member of the Challenger Group. The Fund employs derivatives strategies to generate returns. Past performance is not a reliable indicator of future performance.

About Challenger Solutions

Challenger Solutions is an experienced alternative investment and derivatives specialist with expertise in differentiated, non-correlated strategies that seek to enhance, hedge or otherwise offer attractive risk-adjusted returns.

For further information, please contact: 

Fidante Partners Investor Services | p: 1300 721 637 | e: info@fidante.com.au | w: www.fidante.com 

¹ The fund name was changed from Challenger Solutions Liquid Alternative Balanced Fund to Challenger Solutions Spectrum Systematic Alpha Fund in May 2024. 
² Cumulative gross return of 24.1% consisting of 15.2% for July 2022 – June 2023 and 7.6% for June 2023 – June 2024.
³ MSCI World (AUD) volatility was 12.5% and Bloomberg Global Aggregate volatility was 4.9% over the same period.

This material has been prepared by Challenger Investment Solutions Management Pty Ltd (ABN 63 130 035 353, AFSL 487354) (Challenger Solutions Group or Challenger), the investment manager of Challenger Solutions Spectrum Systematic Alpha Fund, for wholesale investors only. Fidante Partners Limited ABN 94 002 835 592 AFSL 234668 (Fidante) is a member of the Challenger Limited group of companies (Challenger Group) and is the responsible entity of the Fund(s). Other than information which is identified as sourced from Fidante in relation to the Fund(s), Fidante is not responsible for the information in this material, including any statements of opinion. It is general information only and is not intended to provide you with financial advice or take into account your objectives, financial situation or needs. Investors should consider whether the information is suitable to their circumstances. To the extent permitted by law, no liability is accepted for any loss or damage as a result of reliance on this information. Past performance is not a reliable indicator of future performance. Investments in the Fund(s) are subject to investment risk, including possible delays in repayment and loss of income or 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.