Wealth Manager - the site for professional investment managers

Register free for our breaking news email alerts with analysis and cutting edge commentary from our award winning team. Registration only takes a minute.

LGIM opens ‘mid-risk’ unit trust to public

LGIM opens ‘mid-risk’ unit trust to public

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. 

RCB launch follows the L&G Real Income Builder trust launched by last year. The fund is managed by a team led by Nick Hartley, co-head of active equities, and co-fund manager Shaunak Mazumder. 

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.’

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.

Related Fund Managers

Nick Hartley
Nick Hartley
111/185 in Mixed Assets - Balanced GBP (Performance over 1 year) Average Total Return: 1.37%
Your Business: Cover Star Club

Profile: how Tiller believes it's cracked robo-profitability

Profile: how Tiller believes it's cracked robo-profitability

Ian Cadby and Jonathan Wauton of Tiller Investments believe they have developed the next generation of digital wealth platform.

Wealth Manager on Twitter