RiverFront Investment Group has partnered with Alps Advisors to launch a series of global tactical mutual funds based on RiverFront’s Separate Account Strategies.
Alps will serve as the investment adviser to the funds and RiverFront will serve as the sub-adviser.
The funds will use RiverFront’s proprietary Price Matters optimisation process for global security selection and serve as complements to RiverFront’s separately managed account portfolios.
The RiverFront Moderate Growth Fund will normally be 80 per cent invested in equities and 20 per cent in fixed income securities and will seek to achieve long-term capital appreciation with a modest allocation to bonds to reduce volatility.
The RiverFront Moderate Growth & Income Fund will normally be 50 per cent invested in equities and 50 per cent invested in fixed income securities. This fund seeks to provide current income consistent with the potential for growth and income through a combination of bond income, capital appreciation, and rising dividend payments.
The RiverFront Long-Term Growth & Income Fund will normally be 70 per cent invested in equities and 30 per cent in fixed income securities. The fund seeks to achieve long-term growth and income through a combination of capital appreciation and rising dividend payments.
Each of the new funds will be offered in three share classes: A, C and I.
RiverFront was formed in April 2008 by a team of investment professionals from Wachovia Securities, including former chief investment officer Michael Jones (pictured), former chief investment strategist Rod Smyth, former chief equity strategist Doug Sandler, and Peter Quinn, the former president of the private client group.
Jones, Smyth and Sandler, along with Tim Anderson, RiverFront’s chief fixed income officer, will serve as co-portfolio managers for all the funds.
"The founding vision of RiverFront was to take the tactical allocation strategies we developed in our former roles and make these unique investment solutions available to a broader range of financial advisors and their clients," says Jones. "The talents and capabilities of the professionals at Alps will allow us to extend this vision and meet the needs of even more financial advisors and their clients. We are extremely excited about the possibilities arising from this partnership."
"We are thrilled to be able to offer RiverFront’s investment expertise as part of our mutual fund line-up," says Tom Carter, president of Alps Advisors. "Their dynamic global allocation approach provides us with a solid core portfolio to use in combination with some of our existing specialized satellite solutions."
