BlackRock to launch passive FoF duo

BlackRock is to launch two passively-managed funds of funds investing in a selection of the firm's equity and fixed income tracker funds.

The Global Consensus fund will invest in up to seven BlackRock trackers covering the major global markets: the UK, Continental European, Japan, North American, Emerging Markets, Pacific ex-Japan and Global Property Securities equity trackers.

The Balanced Consensus fund has the ability to invest in these trackers as well as the BlackRock Corporate, Overseas Government Bond and Overseas Corporate Bond trackers.

Launching on 22 July and managed by Mason Woodworth and Martyn Farmer, both funds will also be able to hold ETFs and invest in the BlackRock Cash fund.

Global Consensus will seek to replicate the asset allocation of the average fund in the Lipper ABI Global Equity Pension sector. Funds in the sector must invest at least 80% of their assets in equities spread across more than one region.

Balanced Consensus will look to replicate the asset allocation of the average fund in the Lipper ABI Mixed Investment 40%-85% Shares Pension Sector, meaning the fund will have a minimum of 40% and maximum of 85% exposure to equities.

The AMC for either fund is 0.6%, with a projected TER of 0.63% on the Balanced fund and 0.62% on the Global fund.