- Euro Equity and Euro Structured Equity Funds
- The funds are managed by Uhlmann Paarmann and Taylor
- Invesco believes that falling yields in fixed income will spark equity demand
Looking to meet continental European investors’ demand for focused exposure within the European equity market, Invesco launched two new funds. The new additions to their European investment platform are the Invesco Euro Structured Equity Fund and the Invesco Euro Equity Fund. Both funds are registered for sale in most of the countries in Continental Europe and offer investors two distinct approaches to tapping the potential of the Eurozone equity market.
The two funds follow the established investment process and philosophy of the Invesco Pan European Structured Equity Fund and the Invesco Pan European Equity Fund within a more focused investment universe, and can thus leverage on the success of these funds.
Commenting on the dual fund launch, Carsten Majer, Chief Marketing Officer Continental Europe, said: "The launch of these two funds continues to broaden and diversify our European investment capability. Given the current low-interest rate environment and with low and falling yields on fixed income products, we think that equity funds are likely to see continued strong demand, with Eurozone equities poised to profit from the continuing European economic recovery.”
The Invesco Euro Structured Equity Fund is managed by Alexander Uhlmann and Thorsten Paarmann. They can draw on the support of the Invesco Quantitative Strategies Team in Frankfurt whose investment philosophy is based on translating fundamental and behavioural finance insights into portfolios, through a systematic and structured process that combines these insights with rigorous control based on its proprietary risk model. The fund aims to offer investors the full long-term performance potential of Euro equities while aiming to control the volatility normally associated with equities.
Thorsten Paarmann commented: “In the current market environment, we believe that the case for low-volatility investing remains strong. The fund’s defensive approach to the market and intended low correlation with the benchmark and its competitors aims to offer an efficient risk/return profile and to help preserve wealth particularly during periods of economic stress.”
The Invesco Euro Equity Fund is managed by Jeff Taylor and the Invesco European Equities Team in Henley-on-Thames. The team’s long-term investment approach seeks to capitalise on valuation anomalies in the market, with the benchmark considered to be more of a point of reference as opposed to a determinant of investment decisions. By not favouring any one particular investment style, the fund can take advantage of what we believe is the best mix of individual risk/reward opportunities in the market, at any point in time in whatever stock, sector or country they are to be found.
Jeff Taylor commented: “While the fund can potentially offer attractive alpha in strong equity markets, its flexible approach and valuation focus aim to deliver attractive performance under most market conditions.”