Multi Asset
Currency Conundrum
Discover how currency fluctuations can mean the return investors get from overseas investments can be different to local investors. Find out more.
12 December 2022
Capabilities
Multi asset
Our multi asset investment teams combine diversification with robust risk management to target more consistent risk-adjusted returns.
View our multi asset capabilities
Diversification
We break free from traditional asset class constraints to target uncorrelated returns.
Robust risk management
Our strong focus on risk management helps mitigate downside risks
More consistent returns
By investing intelligently across multiple asset classes, we target consistent returns with lower volatility.
Deep expertise, targeted solutions
As one of the world’s largest asset management firms, we have expertise across equity, fixed income, currency, commodity and alternative investment markets.
Our multi asset teams tap into Invesco’s network of 800+ investment professionals. They share knowledge with investment teams across the globe, gaining valuable insight into local markets. Team members bring decades of industry experience and manage over £64 billion on behalf of our clients.
With your objectives in mind, we have built a broad range of multi asset strategies, spanning risk parity, absolute return and fund of fund solutions.
Latest multi asset insights
| Capital at risk. The funds listed below may be subject to the debt instruments risk, credit risk, interest rate risk, derivatives risk, emerging markets risk, Chinese securities risk, lower credit quality risk, sector risk, fixed benefits share class risk, contingent convertible bonds risk and the dynamic asset allocation risk. Some of the listed strategies invest in distressed securities, contingent convertible bonds, small/medium-sized companies and preferred loans. These may involve additional risks. ESG funds may forego certain investment opportunities. See investment risks for more information. |
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| Any investment decision should take into account all the characteristics of the fund as described in the legal documents. For sustainability related aspects, please refer to SICAV/Zodiac: https://www.invescomanagementcompany.lu. |
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Highlighted products
Product
Invesco Balanced-Risk Allocation Fund
Equities, bonds and commodities for a balanced risk-reward profile.
Product
Invesco Global Income Fund
Invest in promising equities and bonds worldwide.
Product
Invesco Sustainable Allocation Fund
Balanced opportunities/risks through tactical asset allocation and through a sustainable investment approach.
Product
Invesco Pan European High Income Fund
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More about our capabilities
Investment risks
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For complete information on risks, refer to the legal documents.
Invesco Pan European High Income Fund and Invesco Global Income Fund:
Debt instruments are exposed to credit risk, ie the extent to which the borrower will be able to repay the interest and principal on the redemption date.
Changes in interest rates cause the fund's value to fluctuate.
The fund uses derivatives (complex instruments) for investment purposes which can result in significant leverage for the fund and large fluctuations in the value of the fund.
Investments in debt instruments with a lower credit quality can lead to large fluctuations in the value of the fund.
The fund may invest in distressed securities with a significant risk of capital loss.
The fund may invest in contingent convertible bonds which could lead to a significant risk of capital loss depending on certain events.
The fund may dynamically invest in different assets/asset classes which may cause periodic changes in the risk profile, underperformance and/or higher transaction costs.
Invesco Global Income Fund:
As a portion of the Fund may be exposed to less developed countries, you should be prepared to accept large fluctuations in the value of the Fund.
Debt instruments are exposed to credit risk which is the ability of the borrower to repay the interest and capital on the redemption date.
Changes in interest rates will result in fluctuations in the value of the fund.
The fund uses derivatives (complex instruments) for investment purposes, which may result in the fund being significantly leveraged and may result in large fluctuations in the value of the fund.
Investments in debt instruments which are of lower credit quality may result in large fluctuations in the value of the fund.
The fund may invest in distressed securities which carry a significant risk of capital loss.
The fund may invest in contingent convertible bonds which may result in significant risk of capital loss based on certain trigger events.
The Fund may invest in a dynamic way across assets/asset classes, which may result in periodic changes in the risk profile, underperformance and/or higher transaction costs.Invesco Sustainable Allocation Fund:
Debt instruments are exposed to credit risk which is the ability of the borrower to repay the interest and capital on the redemption date.
Changes in interest rates will result in fluctuations in the value of the fund.
The fund uses derivatives (complex instruments) for investment purposes, which may result in the fund being significantly leveraged and may result in large fluctuations in the value of the fund.
The Fund may invest in a dynamic way across assets/asset classes, which may result in periodic changes in the risk profile, underperformance and/or higher transaction costs.
The lack of common standards may result in different approaches to setting and achieving ESG objectives. In addition, the respect of the ESG criteria may cause the Fund to forego certain investment opportunities.Invesco Global Targeted Returns Fund:
Debt instruments are exposed to credit risk which is the ability of the borrower to repay the interest and capital on the redemption date.
Changes in interest rates will result in fluctuations in the value of the fund.
The fund uses derivatives (complex instruments) for investment purposes, which may result in the fund being significantly leveraged and may result in large fluctuations in the value of the fund.
Investment in instruments providing exposure to commodities is generally considered to be high risk which may result in large fluctuations in the value of the fund.Onshore bond funds:
The securities that the Invesco Summit Responsible Range and the Invesco Summit Growth Range invest in may not always make interest and other payments, nor is the solvency of the issuers guaranteed. Market conditions, such as a decrease in market liquidity, may leave the funds unable to sell securities at their true value. These risks increase where the funds invest in high yield or lower credit quality bonds.
Emerging market risk:
The Invesco Summit Responsible Range and the Invesco Summit Growth Range invest in emerging and developing markets, where there is potential for a decrease in market liquidity. This may mean that it is not easy to buy or sell securities. There may also be difficulties in dealing and settlement and custody problems could arise.
Although the Invesco Global Targeted Returns Fund (UK) and the Invesco Global Targeted Income Fund (UK) invest mainly in established markets, they can also invest in emerging and developing markets. Where this is the case, they are also exposed to the emerging market risks described above.
Derivative risk:
The Invesco Summit Responsible Range and the Invesco Summit Growth Range can use derivatives for investment purposes. This may result in the funds being leveraged and can result in large fluctuations in their value.
Counterparty risk:
The Invesco Summit Responsible Range and the Invesco Summit Growth Range may be exposed to counterparty risk, should an entity with which they do business become insolvent, resulting in financial loss.
ESG:
The use of ESG criteria may affect the Invesco Summit Responsible Range’s investment performance. As such, it may perform differently to similar products that do not screen investment opportunities against ESG criteria.
Risk target:
The Invesco Summit Responsible Range’s risk profile may fall outside the range stated in the investment objective and policy from time to time. There can be no guarantee that the funds will maintain the target level of risk, especially during periods of unusually high or low market volatility.
Interest rate changes:
The Global Targeted Returns Fund (UK)’s performance may be adversely affected by variations in interest rates.
Ongoing charge to capital:
As one of the key objectives of the Global Targeted Income Fund (UK) is to provide income, the ongoing charge is taken from capital rather than income. This can erode capital and reduce the potential for capital growth.
Invesco Global Targeted Returns Fund (UK) / Invesco Global Targeted Income Fund (UK) – additional product-specific risks:
The Invesco Global Targeted Returns Fund (UK) and the Invesco Global Targeted Income Fund (UK) make significant use of financial derivatives (complex instruments), which will result in the funds being leveraged. This may result in large fluctuations in the value of the funds. Leverage on certain types of transactions, including derivatives, may impair the funds’ liquidity, cause them to liquidate positions at unfavourable times, or otherwise cause the funds to fail to achieve their intended objectives. Leverage occurs when the economic exposure created by using derivatives is greater than the amount invested. This exposes the funds to a greater loss than the initial investment.
The funds may be exposed to counterparty risk, should an entity with which they do business become insolvent, resulting in financial loss. This counterparty risk is reduced by the manager through collateral management.
The securities in which the funds invest may not always make interest and other payments, nor is the solvency of the issuers guaranteed. Market conditions, such as a decrease in market liquidity, may leave the funds unable to sell those securities at their true value. These risks increase where the funds invest in high yield or lower credit quality bonds.
Important information
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All information is provided as at 30 September 2022, sourced from Invesco unless otherwise stated.
This is marketing material and not intended as a recommendation to buy or sell any particular asset class, security or strategy. Regulatory requirements that require impartiality of investment/investment strategy recommendations are therefore not applicable nor are any prohibitions to trade before publication.
Where individuals or the business have expressed opinions, they are based on current market conditions. They may differ from those of other investment professionals. They are subject to change without notice and are not to be construed as investment advice.
This material should not be considered financial advice. Persons interested in acquiring the products should inform themselves as to (i) the legal requirements in the countries of their nationality, residence, ordinary residence or domicile; (ii) any foreign exchange controls and (iii) any relevant tax consequences.
For more information on our funds and the relevant risks, please refer to the share class-specific Key Investor Information Documents (available in local language), the Annual or Interim Reports, the Prospectus, and constituent documents, available from www.invesco.eu. A summary of investor rights for Invesco Funds SICAV and Invesco ETFs is available in English from www.invescomanagementcompany.lu and www.invescomanagementcompany.ie, respectively. The management company may terminate marketing arrangements.
The funds are domiciled in Luxembourg.
