Hybrid funds; the best of both worlds

To date investors have had to choose between funds of funds and manager of managers funds, but now hybrid funds that exploit the advantages of both are starting to come to market

Multi-managers deliver diversification, hence lower risk plus greater expertise and resources than the majority of advisers can manage. Multi-managers can deliver access to a wider range of managers because of the potential weight of money they have to invest. Buying a number of multi-manager funds may involve slightly higher costs for the client. But it allows advisers to spend more time with clients rather than on researching and analysing. However the multi-manager concept, which is ultimately designed to simplify the investment management process, has over time become complicated. Wh...