Thematic SMAs on the rise

A thematic international investment house partnered with a $110 billion platform to provide access to several separately managed accounts.

Praemium has added three themed global share portfolios from Macrovue; the Macroevue Car of the Future Concentrated Equity SMA, the Macrovue Disruptive Technologies Concentrated Equity SMA, and the Macrovue International Equity Income Concentrated SMA.

The Macrovue Car of the Future Concentrated Equity SMA aims to capitalise on two disruptive sub-themes identified in the global automotive industry - the electrification of the automotive fleet and the proliferation of driverless vehicles. In the 12 months to 10 May 2018 it returned 11.6% for investors.

"These two themes are early in the adoption cycle, have a large global addressable market, have regulation as a positive force, and have major players that are numerous and well capitalised," Macrovue said.

The Disruptive Technologies portfolio invests in companies considered leaders in their particular field, such as the Internet of Things, advanced robotics and energy storage.  In the year to 10 May 2018, the portfolio achieved a 50.6% return.

Finally, the International Equity Income Concentrated SMA comprises stocks from developed and emerging markets and is designed to deliver clients a steady income stream. In the past 12 months it has returned a yield of 8.1%.

"It provides an opportunity for investors to gain exposure to international shares for diversification but also achieve a higher yield than is available from global ETFs and managed funds," Macrovue said.

All three SMAs are available via Praemium and incur an investment management of 80 basis points. They are free from performance fees.

"Thematic portfolios are becoming more and more important for advisers to consider when thinking about a client's overall portfolio," Macrovue said.

"Having the Macrovue thematic global share portfolios available for advisers delivers leading investment solutions and global diversification for advisers managing clients' investments."

Read more: MacrovuePraemiummanaged accountsSMAs
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