Blacksquare Capital is launching one of the first ever multi-manager funds to target a specific level of annualised volatility (up to 8%) in order to generate a higher rate of return.

Fully UCITS III compliant, the IFSL Blacksquare Diversified Absolute Return Fund, which launches at the beginning of February, aims to deliver positive returns uncorrelated to equity or bond markets throughout all market conditions. The fund is dynamically managed and invests in a portfolio comprised of holdings across a comprehensive range of investments including global equities, bonds, foreign exchange and commodities.

Christopher Peel, Partner and CEO of Blacksquare, said: “Our Diversified Fund marks an important step in the evolution of multi-strategy funds. By targeting 8% volatility across the portfolio the Diversified Fund will offer investors reduced risk exposure to a range of investments with individual risk profiles similar to the equity markets.”

“A multi-manager approach is vital when investing in the Absolute Return sector, a principle that has made money for investors in our multi-strategy funds every year for the five years since our inception, no matter how the financial markets have performed.”

The fund will be available for purchase on the following retail platforms: Ascentric, Axa Elevate, Hargreaves Lansdown, James Hay, Transact, Nucleus, Raymond James, Novia, Standard Life, Skandia and Cofunds Institutional.

The new fund follows last year’s launch of the IFSL Blacksquare Multi-Manager Absolute Return Fund.