Schroder Global Multi-Asset Thematic FundCapturing growth potential through global thematic opportunities
Creating wealth opportunities through the lens of thematic investing
Innovative technologies and social changes are reshaping the way we live, and have introduced immense investment opportunities to investors.
Equipped with forward looking investment insights, the Schroder Global Multi-Asset Thematic Fund focuses on the three core investment themes of innovative transformation, cities and lifestyles, and environment and sustainability. With its finger on the pulse of what is happening globally, the fund aims to help investors uncover hidden investment opportunities along their wealth-building journey.
Have you noticed the investment opportunities around your daily life?
Three core themes to capture current investment opportunities
1. Innovative transformation
Following the successful upgrade of mobile communication technology from 4G to 5G, changes are gradually becoming apparent in our daily lives. This technological enhancement will further expedite the development and innovation of the Internet of Things (IoT), which not only builds a new ecosystem, but also provides growth momentum to multiple sectors going forward. For instance, artificial intelligence, cloud computing, big data, video streaming, and E-sports are some areas that are poised to benefit from this phenomenon.
According to market estimates, 5G related revenues will rise from less than US$100 billion in 2021 to a tremendous US$720 billion by 20301, which is equivalent to a growth of over seven times.
2. Cities and lifestyle
Ordering food and groceries online have become the habit of many households. The increase in sales volume has boosted demand across various sectors along the entire supply chain, such as payments, warehousing, logistics and transportation.
According to market estimates2, e-commerce has only contributed 13% to the world’s overall spending in 2019. This number is expected to double in the next five years. Despite the fact that Asia is already leading in this area globally, the region is still set to maintain double-digit growth over the next five years. For example, the current penetration rate of online transactions in groceries consumption is still below 10%. All these numbers are painting a positive picture on the strong growth potential for the entire industry.
3. Environment and sustainability
After the "Paris Agreement" was adopted at the 2015 United Nations Climate Change Conference, countries across the globe have proactively introduced measures for reducing greenhouse gas emission. As an important player in the industrial arena, U.S. president Joe Biden signed an executive order on his first day in office to increase public spending on green infrastructure and power plants emission reduction, including a US$2 trillion clean energy plan. The policy supports environmental protection and sustainable development, which will provide a favourable backdrop for relevant sectors to thrive.
Meanwhile, the electric vehicle industry has grown rapidly over the past decade. In 2008, there were only a few electric car models in the world but in 2020, the number of car models available in the U.S. and Europe has increased to 53 and 70 respectively, and 226 in China3. The sharp increase was to catch up with the increased demand and has in turn, driven the development of related industries in the supply chain, such as lithium battery manufacturing. Given electric vehicles will play a key role in reducing emissions, the industry supply chain is poised to deliver strong growth in the future.
Capture growth opportunities through thematic investment
The fund focuses on exploring asset appreciation opportunities from investment themes across various global equity and bond markets. By focusing on three major themes - innovative transformation, cities and lifestyle, and environment and sustainability - the fund aims to help investors capture growth and income opportunities.
Go above and beyond without having any geographic or industry limitations
This thematic fund invests beyond geographical and industrial boundaries, and explores companies with growth potential within the identified themes globally. The fund analyses the trend, state of development, and the value of all major themes with an aim to seize opportunities for growth.
Flexible multi-asset allocation
The fund is managed with the collaboration of multiple investment teams that provide professional fundamental analysis to determine the optimal asset allocation among different asset classes according to market conditions. Equities play an integral role in seeking potential capital returns, whilst bonds provide the income and risk management needs.
Regular monthly payout (Dividends are not guaranteed and may be paid out of capital)*
Investors are offered the choice of different share classes with multiple currencies and regular distribution.
*In respect of the distribution units, the manager will declare and pay monthly distributions. However, the distribution rate is not guaranteed. Distribution yield is not indicative of the return of the fund. Distributions may be paid from capital of the fund. Investors should note that where the payment of distributions are paid out of capital, this represents and amounts to a return or withdrawal of part of the amount you originally invested or capital gains attributable to that and may result in an immediate decrease in the value of units.
Thematic investing is an approach where investors look beyond the traditional geographical or sector framework to access structural opportunities that drive global transformations.
Capture opportunities across 3 key trends on the theme of “Environment and sustainability”
Food and water
As consumers are becoming increasingly aware of the implication to environments, food producers and stores that are sustainable in the way they produce, package and sell products create a huge demand.
Energy development has become a hot topic around the world, of which renewable energy is regarded as possessing great potential. ESG-related financial products focusing on this area help unlock the potential for investors.
Social impact investing
Some investments build around themes that aim to raise social responsibilities and positively impact communities.
Schroder Global Multi-Asset Thematic Fund
You can find more information on the fund including literature and performance data on our fund centre.
Recognition for investment expertise
Fund Selector Asia Awards Hong Kong 2023 - Multi-Asset House of the Year*
1 Source: Delta Partners Analytics, European Commission, IDTechEx Research – 5G Technology, Market and Forecasts 2019-2029.
2 Source: Citi Research, Korea Statistics Office, Bernstein Research.
3 Source: BloombergNEF. 443336
*The result of Fund Selector Asia Awards Hong Kong 2023 is based on the performance of the Multi-Asset investment team as of 5 Nov 2021 – 4 Nov 2022.