TORONTO, Jan. 9, 2012 /CNW/ - Russell Investments Canada Limited (Russell) today announced that Clarivest Asset Management LLC (ClariVest) has been appointed a sub-adviser for the Russell Canadian Equity Pool (the "Pool") and the Russell Canadian Equity Fund (the "Fund"). With this announcement, Russell becomes the first and only firm to offer both retail and institutional investors' access to ClariVest's Canadian Equity products.
"With the appointment of ClariVest, the Russell Canadian Equity Fund and Russell Canadian Equity Pool gain a quantitatively managed, bottom-up investment strategy that is expected to perform well in a variety of market environments, which will help enable the Fund and the Pool to better withstand volatile markets," said Greg Nott, Chief Investment Officer, Russell Investments Canada. "ClariVest's strategy seeks to capture excess return potential created by investors' under-or over-reaction to changes in growth and contraction cycles. The portfolio structure is expected to lower the Fund's/Pool's market sensitivity, improve portfolio diversification while lowering style-factor risks, and increase the product's overall expected alpha."
Russell has completed a thorough analysis of the fund structure incorporating the recommended sub-adviser change. The fund's general investment objectives, strategies and risk profile will remain consistent with the fund's description as it appears in the prospectus. Additionally, portfolio characteristics such as market capitalization, valuation and sector exposure relative to the benchmark will not be materially altered as a result of the sub-adviser change.
ClariVest is a quantitative market-oriented sub-adviser, with a 17 percent target weighting in the Fund and Pool. The ClariVest mandate typically holds 70-75 stocks.
About the Russell Canadian Equity Pool and Fund
The Russell Canadian Equity Pool is part of the Russell Sovereign Investment Program - which has been designed to manage risk on multiple levels and provide long-term performance for individual investors for over 15 years. The Russell Canadian Equity Fund is an underlying fund in Russell LifePoints Portfolios, an innovative fund-of funds solution which is available to both individual and institutional investors.
About ClariVest Asset Management LLC
ClariVest was founded in early 2006 by a group of experienced quantitative equity strategists, including Stacey Nutt, the firm's chief investment officer. ClariVest, which stands for Clarity in Investing, applies proprietary modeling techniques to identify attractive investment opportunities utilizing global comparisons. ClariVest's portfolios tend to be relatively concentrated in comparison to other quantitative managers, and will exhibit sectoral exposures that deviate from the benchmark, but in a risk-managed manner. The quantitative model is comprised of a unique mixture of valuation and momentum signals within a global framework which may cause the portfolio to focus on different parts of the market, depending on where the most attractive opportunities exist. These characteristics are expected to highly complement the investment processes of the other sub-advisers in the Fund/Pool.
About Russell Investments
Founded in 1936, Russell Investments is a global financial services firm that serves institutional investors, financial advisers and individuals in more than 35 countries. The firm has $143 billion in assets under management (as of 09/30/11) in its mutual funds, retirement products, and institutional funds.
Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated.
Nothing in this publication is intended to constitute legal, tax, securities or investment advice, nor an opinion regarding the appropriateness of any investment, nor a solicitation of any type. This is a publication of Russell Investments Canada Limited and has been prepared solely for information purposes. It is made available on an "as is" basis. Russell Investments Canada Limited does not make any warranty or representation regarding the information.
Russell Investments and the Russell Investments logo are registered trademarks of Frank Russell Company, used under license by Russell Investments Canada Limited.
Copyright © Russell Investments 2012. All rights reserved. This material is proprietary and may not be reproduced, transferred, or distributed in any form without prior written permission from Russell Investments.
RETAIL -2012-01-05-0025 (EXP-2012-12)
For further information:
Catherine Winchell 416-640-6899
For real-time news updates, follow @Russell_News on Twitter.