WAY Global Momentum Fund

A new era in fund management dynamics...

The WAY Hasley Global Momentum Fund was the winner of the Innovation Award at the Moneyfacts Investment Life and Pensions Awards 2011 The WAY Global Momentum Fund was the winner of the Innovation Award at the Moneyfacts Investment Life and Pensions Awards 2011. For a fund that had yet to reach its first anniversary at the time of the award, to win such recognition was indicative of the quality of its proposition.

WAY was also Commended in the 'Best Tax and Estate Planning Provider' category at the same awards ceremony and we were very pleased to have placed in such prestigious company.

(Source: Moneyfacts 23rd September 2011)

Eddie O'Gorman of WAY receives the Innovation Award from Natasha Kaplinsky

Photo: The WAY Global Momentum Fund was the winner of the Innovation Award at the Moneyfacts Investment Life and Pensions Awards 2011. Eddie O'Gorman, Director of Sales & Marketing, accompanied by members of the WAY team, receives the Innovation Award from Natasha Kaplinsky on behalf of WAY Group Limited.

A proprietary trading system based on specific moving averages is employed and the process is mechanical with no judgemental overlay...

Recent research conducted by US academics and academics at Cass Business School shows that there is a plausible alternative for investors dissatisfied with the search for active alpha and who want to avoid tracking the market down with their passive holdings. This research shows that a combination of trend-following and momentum-based rules can produce alpha on a consistent basis and generate investment returns over the long-term that are as good as those produced by a buy and hold strategy, and often better.

But more importantly, the returns they generate have volatility that is typically two thirds of that produced by an equivalent buy and hold, passive strategy.

This research has now been translated into action through the WAY Global Momentum Fund.

The Fund is a global momentum fund investing in twenty-four developed markets through the medium of Exchange Traded Funds (ETFs). A proprietary trading system based on specific moving averages is employed and a market is either invested through ETFs or disinvested with proceeds being held in cash or cash-like instruments. The process is mechanical with no judgemental overlay.

In summary:

  1. The Fund is a global momentum fund investing in 24 developed markets through the medium of Exchange Traded Funds (ETFs)
  2. A proprietary trading system based on specific moving averages is employed and a market is invested primarily through ETFs or disinvested with the proceeds being held in cash or cash-like instruments
  3. The process is mechanical with no judgemental overlay
  4. The system has been developed and back-tested by leading academics at the Cass Business School
  5. Aims to offer most of the upside and little of the downside, it compares favourably with either 'buy and hold' or 'active' management
  6. The discipline brought to bear on market timing is key to the process and back-testing demonstrates the effect on volatility
  7. Over the last 10 years (taken as from launch: 28th February 2011), annualised volatility for the Fund would have been 9.59% relative to the index's 16.64%, while maximum drawdown would have been 16.04% relative to the MSCI of 43.64%
  8. Suitable especially as a core holding for long-term portfolios, an alternative to 'passive' investing; pension funds; trusts; charities and ISAs.

The objective of the WAY Global Momentum Fund is to achieve long term capital growth.

References:
1. Data & Statistics - WAY Fund Managers Limited

Associated Links:

1 Press Release: New Fund Launch

2 Fund Factsheet: Launch Version

3 Latest Factsheet: WAY Global Momentum Fund

4 Fund Information Leaflet: WAY Global Momentum Fund

5 Plan Documents: WAY Global Momentum Fund

6 Website: Cass Business School (City University London)

Please Remember:
The price of shares and the income from them can go down as well as up as a result of changes in the value of the underlying investments and currency movements. An investor may not get back the amount originally invested. Past performance is not necessarily a guide to future returns.