Turning global data into investment insight with our global asset allocation team.
Watch John Ricciardi, head of global asset allocation and lead manager of the Merian Global Dynamic Allocation Fund discuss how his team’s analysis of millions of data points shows that investor sentiment could be turning increasingly positive in 2020.
The Merian Global Dynamic Allocation Fund invests directly (not through other funds) in global large- and mega-cap securities. Its bonds are sovereign debt of the largest (G5) countries. No compromises – if it is not highly liquid, the fund does not trade it. The fund does not use leverage. The fund is diversified across four asset classes (equities, bonds, currencies and commodities).
Starting with 50 million data series, the team uses modelling to produce economic forecasts for 27 countries on a four to six week timeframe. Directional probabilities are produced for equities, bonds, currencies and commodities.
The fund’s process combines deep quantitative macro fundamental analysis with decades of lead manager experience. The managers believe that global data is key to understanding market direction, but that without experienced managers interpreting the output, much of this quantitative edge is lost. The fund takes the best of both approaches.
The fund seeks to avoid exposure to harmful business practices and products. Unlike funds which invest in ETFs, the Merian Global Dynamic Allocation Fund buys equities directly. This means it is able to exclude companies based on business practices and products determined to be harmful to the environment and society. Exclusions include industries such as tobacco and controversial weapons, as well as companies causing severe environmental damage, or involved in serious violations of ethical norms and human rights.
Lead Manager and Head of Global Asset Allocation