IA to launch Volatility Managed sector on 3 April

Previously slated for November 2016

The Investment Association (IA) will launch its Volatility Managed sector on 3 April to house the growing number of funds currently sitting in its Unclassified peer group which target a volatility or risk outcome for investors.

Previously slated for launch in November last year, the sector will require member funds to publicly disclose they are managed with the intention of delivering a volatility or risk outcome, as well as providing advisers and consumers with information on how volatility is measured, including the timeframe over which data is calculated. The new sector's definition is: "Funds whose objective is to manage their returns within specified volatility parameters. Outcomes are not guaranteed. Timeframes and methodologies for management of volatility may vary from fund to fund." The IA defines v...