Credit Suisse Asset Management has introduced a fund of funds that invests in the UK and overseas.
The CS multi-manager UK strategic growth portfolio aims for capital growth and income by investing in a portfolio of funds from Credit Suisse and external managers like Deutsche, Fidelity, HSBC and Edinburgh Fund Managers.
Between 25 and 75 per cent of the portfolio will go into funds with a UK bias and the remainder will be invested in funds that invest in other areas, including the US, Europe and Asia. This gives the multi-manager team Robert Burdett, Gary Potter and Kelly Prior the freedom to vary the geographical weightings if stockmarket conditions change, while still maintaining a UK bias.
The fund of funds is designed for investors who are looking for international diversification, but who may want a high proportion of UK exposure to reduce currency risk. As a fund of funds, it allows investors to move their money around if a fund's performance goes downhill or a star fund manager goes to another company.
Investors with Isas and Peps may also find this fund useful to consolidate their investments. However, their money is ultimately being managed by one company which compromises on diversity to some degree.