Stockholm (HedgeNordic) – AIFM Group today announced the launch of its second fund in collaboration with portfolio manager Eric Strand after having launched AuAg Silver Bullet. The new fund, AuAg Precious Green, is a modified version of the classic 60-40 stock-bond combo.
“We are replacing the 60 percent exposure to global equities with ownership in companies that offer products and services contributing to a green world and its electrification. In addition, we are replacing the bond portion with exposure to precious metals, with the main focus on gold,” Eric Strand told Realtid.se earlier.
AuAg Silver Bullet, possibly “Sweden’s riskiest fund” according to Strand, gained over 100 percent since the end of this year’s first quarter through the end of August to bring the year-to-date advance to 38.7 percent. Comparing the soon-to-be-launched fund with AuAg Silver Bullet, Strand tells Realtid.se that “first and foremost, it is a mixed fund with clearly lower risk and very little, if any, overlap.” Strand reckons that the difference between the portfolio composition of AuAg Silver Bullet and AuAg Precious Green “makes both funds good to own.”
AuAg Precious Green plans to allocate 60 percent to the green-tech sector including services, products and commodities needed to create a greener and cleaner world. The remaining 40 percent will be allocated to the precious metals sector with a focus on gold. The fund aims to exceed its benchmark index (60 percent Nasdaq Global TR Index plus 40 percent Bloomberg Barclays Global-Aggregate TR Index) over a five-year period.
AIFM’s collaboration with Eric Strand began last year when the two joined forces to bring “bold, innovative funds that focus on precious metals and green-tech-elements to market.”
Thomas Dahlin, CEO of AIFM, comments on the new launch:
“In an increasingly globalized world, diversification between stocks is not enough. There needs to be diversification between asset classes. The AuAg funds are an important part in creating investment tools for the modern portfolio and when the focus is on precious metals, Eric Strand is the perfect partner.”