Accountability: The core questions absolute return funds must answer

Keeping managers in line

The IA Targeted Absolute Return sector continues to take a bashing. The unfortunate effect of this is that we are all prone to making blanket assumptions, even in an industry where scrutiny and in-depth research is not just preferred, it is required.

Sometimes though, it pays to look beyond the headlines. In some cases, the criticism is clearly justified but in others, it is not so clear cut. The truth, as we are all well aware, is that the sector is rather convoluted and clouded in its make-up. Many funds call themselves 'absolute return', yet their characteristics often appear to contradict this.  Three protective offerings for absolute return sector sceptics Some in the sector have lost their way in a bid to counter volatile markets; others have been fighting against the long-term low interest rate environment, but we wou...