Quilter has appointed J.P. Morgan Asset Management to manage a new long-short equity fund focused on the consumer sector.
The Quilter Investors Long-Short Equity fund is based on the recently launched JPM Consumer Long-Short fund and managed by the same team; lead portfolio manager Jonathan Ingram and portfolio managers Alexander Whyte, Victoria Helvert and Guy Anderson.
The team’s investment approach integrates proprietary quantitative signals, machine learning techniques and deep fundamental analysis. The diversified portfolio will typically run low net equity exposure with stock-specific risk expected to be the dominant driver of returns.
Quilter uses sub-advised mandates, along with third-party funds, across its multi-asset investment solutions, including its managed portfolio service, WealthSelect, which added the new fund to the portfolios at its recent rebalance.
Portfolio managers Stuart Clark, Helen Bradshaw and Bethan Dixon, have increased alternatives exposure within the Managed and Responsible portfolios and reduced cash on the view alternatives are a better source of returns during the increased market volatility after the escalation of conflict in the Middle East.
Clark said: “We have been monitoring this team for some time and are now delighted to be partnering with J.P. Morgan to launch a mandate that we can include in WealthSelect.
“The team brings a disciplined approach and is comfortable using a number of different approaches to help avoid pitfalls associated with singular approaches.
“Given the high levels of uncertainty in the market, conflict erupting in the Middle East and continued concerns around asset bubbles, trade policy, and inflation, it is vital we look for genuinely diversifying investments to complement existing holdings in the portfolios.”
Ingram added: “We are delighted to partner with Quilter to launch this new strategy. The Quilter Investors Long-Short Equity fund will use insights into rapidly changing consumer trends around the world in order to build a long-short portfolio that targets a total return in excess of cash for Quilter’s MPS clients."
