7IM has added a 'trend-following' strategy to its multi-asset ranges.
The firm has added the medium-term strategy to its Pathbuilder multi-asset fund range, which is a passive option for advisers.
The firm said this strategy can take advantage of trends in both rising and falling markets to make profits.
Chris Justham, managing director of intermediary solutions, said: “We’re always looking at how we can enhance our offering for planners so that they can deliver the best outcomes for their clients.
"Following recent conversations with a number of our key partners, we’ve listened to feedback and improved our Pathbuilder range to offer deeper levels of diversification.
"We’ve been innovators in the passive industry for 16 years and are pleased to be able to offer something different here."
The Pathbuilder range was launched in 2020 and comes with a 0.22 per cent annual management charge.
Matthew Yeates, deputy chief investment officer at 7IM, said: “As many traditional assets continue to move in lockstep, access to deeper levels of diversification has never been more important. To respond to this, we’ve bolstered our Pathbuilder range with ‘trend following’.
"Whilst we have already used trend following for some time in our more active portfolios, we feel the setup can also be very fruitful for our passive portfolios given the current macro environment.
“Passive to many people can simply mean 'low cost'. For us it’s important that “passive” means a properly diversified portfolio that follows a strategic asset allocation.
"This means constructing something more robust than simply ‘cap weighting’ equities and watering that down with some government bonds. This evolution of Pathbuilder is our latest thinking for a fund vehicle taking that approach.”
tara.o'connor@ft.com
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