New fund added to Macquarie Wrap

GSFM announced the Triple3 Volatility Advantage Fund would be added to the platform, providing a “volatility-focused strategy to capture alpha from highly liquid exchange-traded VIX options”.

GFSM director Damien McIntyre said in a statement that the fund provided an “alternative diversification option”.

“With low correlation to other asset classes, it can be used to enhance returns and manage risk,” he said.

“An investment in volatility can be accessed through the VIX with the use of options and volatility derivatives – which are a good natural diversifier.”

In his view, portfolio diversification is particularly important for Australian investors who tend to favour local equity exposure.

In the statement, GSFM reported the fund had been awarded a “recommended” rating from Lonsec in August.

According to GSFM, Triple 3 Partners was established in 2009 with a focus on providing volatility strategies to institutional clients.