Fact sheet: BlackRock Vol Strat IV

Fund information
Fund name
BlackRock Volatility Strategy IV E Acc
Fund manager company
BlackRock
Fund type
Unit Trust
Fund managers
  • Martyn Farmersince 10/02/2014
  • William Rileysince 10/02/2014
  • Alex Dalesince 10/02/2014
Fund objective
The Fund is designed to help you grow your long-term wealth while using a volatility management strategy with the aim of limiting the fluctuations (or ‘volatility’) your portfolio experiences to around 15%. Periods of great volatility often coincide with periods of poor returns for most kinds of investments so something which seeks to manage this volatility may help shield you from more extreme market movements. Be advised though that focusing so explicitly on smoothing out the impact of some of the peaks and troughs of the markets may reduce the amount of capital growth the Fund can deliver. This should not necessarily be thought of as the fund ‘underperforming’, it’s more a reflection of its nature. Less risk has been taken in its construction, so returns may be less than those of the markets it invests in. The Fund will invest in a wide range of assets including stocks, bonds, cash and other instruments in order to arrive at the asset allocation its managers believe can best help it achieve its objectives. A substantial amount, even all, of its assets can be held in cash at any time if market conditions dictate. There is no guarantee that the Fund will achieve its objective of managing volatility at or around 15%.
Benchmark
  • No Specified Index
Investment style
Aggressive
Investment method
None
Quick stats
1 Year return
11%
1 Year rank in sector
100/268
Sector
UT Mixed Investment 40%-85% Shares
Yield
-
Fund size
£33m (£29m last year)
FE Risk score
?FE Risk Scores measure the riskiness of instruments relative to the FTSE 100 index of shares. Weekly volatility is measured over three years with recent behaviour counting more heavily than earlier behaviour. Cash-type investments will have scores close to zero. Funds will tend to have scores in the 0-150 range. The FTSE 100 is always scored at 100. There is no upper limit.
85
Bid price
125
Offer price
134.1
Top in this sector
Fund name1 Year
Orbis Gbl Bal34.6%
FP MA DRP VIII21.2%
HSBC Wld Seltn Advntr Pfl21%
CF Greenmount20.7%
S&W Millbank East River20.4%
...more in UT Mixed Investment 40%-85% Shares

Performance snapshot

Holdings snapshot

Performance vs Sector

Cumulative performance
 1 mth3 mth6 mth1 yr3 yr5 yr
Fund-2.1%0.5%10.5%11%--
Sector-2%0.4%8.9%9.5%18.7%46.9%
Rank within sector158 / 280145 / 27980 / 275100 / 268--
Quartile3rd3rd2nd2nd
Calendar performance
 YTD - 20162015201420132012
Fund11.5%1%---
Sector9.9%2.2%5%13.5%9%
Rank within sector92 / 268191 / 252---
Quartile2nd4th
Risk statistics
Alpha
?Alpha is a measure of a fund's over- or under-performance by comparison to its benchmark. If the Alpha is 5, the fund has outperformed its benchmark by 5%; so the greater the Alpha, the greater the outperformance.
-
Beta
?Beta estimates a fund's volatility by comparison to that of its benchmark. A fund with a beta close to 1 means that the fund will move generally in line with the benchmark. Higher than 1 and the fund is more volatile than the benchmark and vice versa.
-
Sharpe
?This commonly-used measure calculates the level of return over and above the return of a notional risk-free investment, such as cash. The difference in returns is then divided by the fund's volatility. The resulting ratio is an indication of the amount of excess return generated per unit of risk.
-
Volatility
?Volatility (or standard deviation), when applied to an investment fund, expresses its risk. It shows how widely a range of returns varied from the fund's average return over a particular period. For example, if a fund had an average return of 5%, and its volatility was 15, this would mean that the range of its returns over the period had swung between +20% and -10%.
-
Tracking error
?This measures the standard deviation of a fund's excess returns over the returns of an index or benchmark portfolio. As such, it can be an indication of 'riskiness' in the manager's investment style. A Tracking Error below 2 suggests a passive approach. At 3 and above the the manager will be deploying a more active investment style.
-
Information ratio
?This is a useful risk-adjusted measure of actively managed fund performance. It is calculated by deducting the returns of the fund's benchmark from the fund's overall returns, then dividing the result by its tracking error. The higher the Information Ratio the better. It is generally considered that a figure of 0.5 reflects a good performance, 0.75 very good, and 1.00 outstanding.
-
R-Squared
?An indication of how closely correlated a fund is to an index or a benchmark. Values for R-Squared range between 0 and 1, with 0 indicating no correlation at all and 1 showing a perfect match. Values upwards of 0.7 suggest that the fund's behaviour is increasingly linked to its benchmark.
-
Price movement
52 week high129.2
52 week low100.8
Current bid price125
Current offer price134.1
Current mid price-
Region
No data available.
Industry sector
No data available.
Asset type
No data available.
Individual holdings
No data available.
Management
Fund manager group
BlackRock
Fund manager company
BlackRock
Fund type
Unit Trust
Fund objective
The Fund is designed to help you grow your long-term wealth while using a volatility management strategy with the aim of limiting the fluctuations (or ‘volatility’) your portfolio experiences to around 15%. Periods of great volatility often coincide with periods of poor returns for most kinds of investments so something which seeks to manage this volatility may help shield you from more extreme market movements. Be advised though that focusing so explicitly on smoothing out the impact of some of the peaks and troughs of the markets may reduce the amount of capital growth the Fund can deliver. This should not necessarily be thought of as the fund ‘underperforming’, it’s more a reflection of its nature. Less risk has been taken in its construction, so returns may be less than those of the markets it invests in. The Fund will invest in a wide range of assets including stocks, bonds, cash and other instruments in order to arrive at the asset allocation its managers believe can best help it achieve its objectives. A substantial amount, even all, of its assets can be held in cash at any time if market conditions dictate. There is no guarantee that the Fund will achieve its objective of managing volatility at or around 15%.
Benchmark
  • No Specified Index
Investment style
Aggressive
Investment method
None
Fund managers
NameSinceBiography
Martyn Farmer10/02/2014Martyn Farmer, Vice President and portfolio manager, is a member of the Completion Mandate Management function of the Client Solutions group within BlackRock Solutions. The Client Solutions team provides complex solutions support for the Firm’s largest institutional clients. The team has a broad set of investmentexperience across fixed income, equity, alternatives and a wide range of specialized investment strategies. It also focuses on outcome-oriented investing solutions, taking into account liabilities, capital and other drivers of investment strategy. Mr. Farmer’s service with the firm dates back to 2001, including his years with Merrill Lynch Investment Managers (MLIM), which merged with BlackRock in 2006.Mr. Farmer earned a BA (hons) degree in Business Administration from the Anglia Ruskin UniversityIn 1999.
William Riley10/02/2014William Riley, CFA, Managing Director, is co-head of the Completion Mandate Management team within the Client Solutions division of BlackRock Solutions. The Client Solutions team provide complex solutions support for the Firm's largest institutional clients. The team has a broad set of investment experience across fixed income, equity, alternatives and a wide range of specialised investment strategies. It also focuses on outcome-oriented investing solutions, taking into account liabilities, capital and other drivers of investment strategy. Mr Riley is responsible for trade construction, implementation and on-going mandate and risk management of Client Solutions portfolios delivering the bottom-up product and market knowledge and execution expertise. Mr. Riley's service dates back to 2005, including his years with Barclays Global Investors (BGI), which merged with BlackRock in 2009. His solutions experience includes managing portfolios for fiduciary clients as well as complex derivative overlay portfolios. At BGI, he was a senior portfolio manager within the Client Solutions team, focusing on managing European multi-asset portfolios. Prior to this role, he was a senior portfolio manager within the BGI Liability Driven Investment team. Prior to joining BGI, Mr Riley was a fund manager at Sanlam Investment Management, where he was responsible for asset-liability management of the annuity portfolios. Mr. Riley earned a Bachelor of Business Science degree in Finance and Information Systems from the University of Cape Town 1998.
Alex Dale10/02/2014Alex Dale, Managing Director, is co-Head of the Completion Mandate Management team within the Client Solutions division of BlackRock Solutions. The Client Solutions team provide complex solutions support for the firm’s largest institutional and retail clients. Mr. Dale is responsible for trade construction, implementation and on-going mandate and risk management of Client Solutions portfolios delivering the bottom-up product and market knowledge and execution expertise. Mr. Dale joined the firm in 2006, including his years with Barclays Global Investors (“BGI”), which merged with BlackRock in 2009. Prior to joining the firm, Mr. Dale was an active fixed income fund manager at F&C Asset Management where he specialised in inflation-linked bond markets in the UK and Europe. Prior to this, he had analyst roles at both CIGNA Investment Management and JP Morgan Investment Management. Mr. Dale earned a BA degree, with honours, in business economics from Nottingham Trent University in 1996 and an MSc degree in finance from the University of London in 2001.
Compliance
IA Recognised, Non UCITS Retail Scheme
Domicile
No data available.
Fund for sale in
United Kingdom
BlackRock Volatility Strategy IV C Acc
Initial charge7%
Annual charge0.2%
Min single investment£50,000,000
Min regular saving£100
Available in ISANo
Ongoing charge (OCF)-
Total expense ratio (TER)0.23%
Bid price125.5
Offer price134.7
Mid price-
CurrencyGBX
Price updated01/12/2016
TypeAccumulation
Institutional or retail classInstitutional
Domicile-
Citi codeK59H
BlackRock Volatility Strategy IV E Acc
Initial charge7%
Annual charge0.35%
Min single investment£20,000,000
Min regular saving£100
Available in ISANo
Ongoing charge (OCF)-
Total expense ratio (TER)0.38%
Bid price125
Offer price134.1
Mid price-
CurrencyGBX
Price updated01/12/2016
TypeAccumulation
Institutional or retail classInstitutional
Domicile-
Citi codeK59I
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