Deutsche Bank International Private Bank (IPB) has launched four Strategic Income Allocation (SIA) funds, utilising the capabilities of DWS as a fund manager.
The SIA fund launch follows the successful launch of the IPB’s Strategic Asset Allocation (SAA) one year ago.
The SIA funds are based on the IPB’s Chief Investment Office (CIO) multi-asset allocation approach and aim to generate a regular stream of income distribution with the additional feature of downside risk management.
The new funds aim to provide diversified income sources by investing in ETFs linked to fixed income, global equity, listed real estate and infrastructure indices, as well as using options for yield enhancement.
Achieving income while controlling risk is increasingly difficult for investors. The SIA funds seek to generate income distributions while at the same time benefitting from Deutsche Bank’s “Plus” downside risk management framework.
In utilising Deutsche Bank’s asset management arm DWS to offer the funds, investors have access to a competitive, cost-efficient solution for their core investment portfolio.
The new SIA funds complement IPB’s flagship SAA investment offering, introduced just over a year ago. Thousands of clients worldwide have already invested in the SAA funds, with assets under management now totalling over EUR3.5 billion (as of 11 June, 2021).
“With the launch of the SIA funds, we are pleased to offer our clients a contemporary, income-oriented proposition,” says Alessandro Caironi, Head of Advisory and Sales, International Private Bank, Deutsche Bank.
He added, “In today’s current economic climate of low and negative interest rates, this solution offers investors the opportunity to invest in a product that is focused on pursuing consistent, long-term market-oriented returns.”
“Our new SIA Plus funds use our highly-regarded SAA strategy with the aim to deliver income from multiple sources,” says Christian Nolting, Global Chief Investment Officer and Head of CIO & Investment Solutions.
“Clients now have the opportunity to benefit from a sophisticated but cost-efficient approach and the ability to combine a modern portfolio strategy with a “Plus”: our distinctive systematic hedging strategy.”
The subscription period for the SIA funds started in mid-June 2021.