Mutual funds:
Benefit from specialists

Up to now, institutional investors have used mutual funds mainly to round off their asset allocation with interesting product concepts. They tend to rely on mutual funds with a clear investment focus (specific sectors, countries, regions or investment instruments). This enables institutional investors to benefit from the expertise of specialised asset managers on the one hand and on the other to enjoy diversification and correlation effects without having to set up their own special fund for each segment.


Mutual funds can open up balance-sheet advantages

Now, however, institutional investors are also tending to launch mutual funds. These fund types – in contrast to special funds – are open to an unlimited investor pool. This type of mutual fund can be attractive for specific target groups, such as IFRS-compliant companies, offering these investor groups balance sheet advantages depending on their design.

Using mutual funds for employee loyalty

Today mutual funds also play a big role in company pension plans. On the one hand, they are used for capital adequacy purposes and on the other, so-called “employee funds” can provide key momentum for supplementary private pension provision for employees as well as for employee loyalty. The design of the mutual fund, for example with regard to defining the purchaser group or employee incentives, is tailored to the specific goals.
As market leader and specialist in the private label fund business, Universal-Investment can offer institutional investors a large number of these interesting fund concepts.