Lazard Asset Management has launched a thematic inflation opportunities funds, designed to benefit from high levels of inflation.
The £31mn Lazard Thematic Inflation Opportunities Fund invests in equities, but is not aligned to any traditional investment style.
The fund invests in 40 to 80 equities, and currently its largest exposures are to industrials (18.8 per cent), consumer staples (16 per cent), and materials (15.8 per cent).
It follows the same investment philosophy as the Lazard Global Thematic Equity Strategy fund, which launched in 2003 and has returned 9.25 per cent since then.
Holdings | Exposure (%) | Sector |
Costco | 2.45 | Consumer Staples |
Shell | 2.43 | Energy |
Equinor | 2.42 | Energy |
Deere & Co. | 2.37 | Industrials |
Thermo Fisher Scientific | 2.36 | Health Care |
BP | 2.34 | Energy |
McDonald's | 2.32 | Consumer Discretionary |
Martin Marietta Materials | 2.26 | Materials |
CSX | 2.21 | Industrials |
Walt Disney | 2.18 | Communication Services |
Source: Lazard
Steve Wreford, who manages the fund alongside John King and Nicholas Bratt, said the world is undergoing important shifts in demographics as well as monetary and fiscal policy.
This could fuel structurally higher inflation that is not currently reflected by market consensus, he said.
“Against this backdrop, there is a strong need for strategies designed to help clients mitigate the risks and capture the potential investment opportunities of inflation,” he added.
sally.hickey@ft.com
