Challenger has launched the Challenger Solutions Liquid Alternatives Balanced Fund, which aims to deliver positive absolute returns in excess of the cash rate.
The fund is the first in a series of investment options developed by Challenger's new Solutions Group, which is tasked with working with institutional clients to address their evolving investment and retirement needs.
The fund will utilise a series of strategies including momentum, carry, value and volatility, and will invest in asset classes such as equities, fixed income, currencies and commodities. It is benchmarked against the RBA cash rate total return index.
"The Challenger Solutions Liquid Alternatives Balanced Fund is aimed at meeting the needs of institutional clients who are seeking sophisticated investment options differentiated from traditional asset classes," head of Challenger Solutions, Josh Heller, said.
"By using systematic investment strategies to harvest risk premia from a broad range of asset
classes and styles, which have low correlations to each other, we can provide clients with absolute
returns complementing their investment portfolios."