Craig Stevens
Global asset manager AllianceBernstein (AB) said yesterday that it has been selected by superannuation fund AustSafe Super to manage an equity risk-management overlay strategy which aims to enhance risk-adjusted investment returns for AustSafe Super’s members.
“By allocating a proportion of our international equities exposure to this overlay strategy, we believe we can improve the management of our equity portfolio without diluting conviction in the underlying investment managers or reducing the return sources we wish to target,” said AustSafe Super’s Chief Executive Officer, Craig Stevens.
“We are delighted to have been chosen by AustSafe Super to provide this service,” said Jen Driscoll, AB’s Chief Executive Officer—Australia. “We look forward to working with AustSafe Super to help their members improve risk-return outcomes in today’s challenging investment markets.”
AB’s Factor Risk Completion strategy is an equity overlay service which aims to improve risk-adjusted returns in multi-manager portfolios without reducing the potential to generate alpha.
The service applies a disciplined quantitative process combining AB’s proprietary risk and alpha models. It aims to reduce the impact of unintended common exposures and asset crowding, and to improve the balance of pay-offs across time-horizons by diversifying risk in a capital-efficient way.