Legal & General Investment Management (LGIM) has opened its L&G Real Capital Builder (RCB) to external investors.
The equity-led outcome oriented unit trust, which the firm describes as medium risk, aims to generate total returns of 4% above inflation per annum over a rolling five year period at two-thirds of the risk of an equity index.
Since its soft launch in January 2016, RCB has outperformed its benchmark, according to LGIM.
Commenting on the new trust, Hartley said: ‘We have committed significant resources to the design of Real Capital Builder.
‘The fund is managed by a dedicated team of fund managers and analysts, each of whom was hired specifically for the strategy.
‘Targeting equity returns with two-thirds’ MSCI World volatility and a real return objective meets the investment objectives of many of our our clients for all market conditions.'
Simon Hynes, head of UK retail sales at LGIM, added: ‘Many investors we speak with are concerned about the spending power of their savings over the long term, and inflation is a rising risk.
‘The Real Capital Builder strategy is relevant for a broad range of investors looking for positive real returns via equities, but in a fund where the drawdown risk and volatility of equities are actively managed down.’