Liontrust is making a number of changes to the Multi-Asset Active range of funds that it believes will strengthen the investment proposition, ensure the funds are best placed to meet their objectives and are in the best interests of investors. The changes are documented in in the Shareholder Circulars dated 24 February 2023 and summarised below.
Name changes
The name of the range of funds is being changed from Liontrust MA Active to Liontrust MA Explorer. This change is to better reflect the nature of the funds and differentiate this family of funds from the Liontrust MA Blended and Liontrust MA Passive ranges of funds which are fund ranges managed by the same investment team. The ACD believes that the new name reflects the forward looking nature and the way in which the funds will explore the best investment opportunities across a combination of asset classes, geographies, sectors and funds, which may include exposure through investment in passive as well as active underlying vehicles.
The new names of the funds can be seen below.
|
Old Fund names |
New Fund names |
|
MA Active Dynamic |
MA Explorer 100 |
|
MA Active Growth |
MA Explorer 85 |
|
MA Active Intermediate Income |
MA Explorer Income 60 |
|
MA Active Moderate Income |
MA Explorer Income 45 |
|
MA Active Progressive |
MA Explorer 70 |
|
MA Active Reserve |
MA Explorer 35 |
Objective changes
The reference to the level of risk, which is currently included within the Fund objective will be included in a dedicated risk section rather than in the objective
Policy changes
We have taken this opportunity to add clarity to the Fund’s investment policy and include a dedicated risk section.
Benchmark additions
From 5 April 2023, IA sectors can be used by investors to compare the performance of the Fund over the long term. The relevant benchmarks can be found in the prospectus from 5 April 2023.
IA sector changes
The MA Active Moderate Income Fund will change sector from the beginning of April, pending IA approval. The MA Active Reserve and MA Active Growth Funds will change IA sector at a later date following IA approval, we will provide an update via the factsheets at this point in time.
Strategic Asset Allocation (SAA) change
The asset allocation (the proportion of assets invested in shares, bonds and other asset classes) process of the Liontrust MA Active Funds is being updated at the beginning of April. Elements of the asset allocation were originally developed and maintained with the help of a third party; should the vote pass, moving forward the overall asset allocation will still be managed by Liontrust but with a wider variety of inputs into the asset allocation process. The SAA will be updated annually and have a long-term (15 years) time horizon. The Tactical Asset Allocation (TAA) is update quarterly.
The funds will continue to be risk rated by rating providers and the risk profile of each fund following these changes is not expected to change. A risk profile of a fund includes a variety of attributes such as the expected volatility of the funds, the overall investment process, asset types used, investment style biases, recommended holding period, use of derivatives and leverage, UCITS rules, position risk, concentration risk and liquidity risk. The review of the risk profile included an assessment that there is little to no change to the areas listed above.
Implementation
The changes to the name, objective, policy, IA sector for the MA Active Moderate Income Fund and the addition of the IA sectors as a benchmarks will take place on 5 April 2023.
For any specific information relating to the changes, please see the Shareholder Circular dated 24 February 2023.
