INTECH Launches Eurozone Low Volatility Equity Strategy
LONDON and WEST PALM BEACH, Florida, July 30, 2012
LONDON and WEST PALM BEACH, Florida, July 30, 2012 /PRNewswire/ -- INTECH
Investment Management LLC (INTECH) announced today the launch and funding of
its Eurozone Low Volatility strategy, offering institutional investors the
potential for modest above-market returns with lower volatility than is
typically associated with capitalisation-weighted equity indexes. The new
product is euro-denominated and benchmarked to the MSCI EMU (European Economic
and Monetary Union) Index.
As part of INTECH's absolute volatility strategy suite, the Eurozone Low
Volatility product seeks to generate modest above-market returns, gross of
fees, over time, at a significantly lower level of absolute volatility and a
higher Sharpe Ratio.
"INTECH is introducing this Eurozone-focused low volatility product to serve
the needs of investors in and around Europe who are not necessarily
constrained to keeping tracking error low relative to a cap-weighted index,
but find lower absolute volatility and high Sharpe Ratios attractive," said
David Schofield, President of INTECH's International Division. "This latest
product, in addition to INTECH's other absolute volatility products, is
managed using stock-price volatility and the correlation between stocks in an
attempt to generate an excess return above the capitalisation-weighted
benchmark over the long term, but with less risk."
INTECH's chief investment officer, Dr. Adrian Banner, noted that, "The
optimisation process of INTECH's absolute volatility strategies attempts to
minimise a portfolio's standard deviation rather than its tracking error.
These strategies represent a natural evolution of INTECH's mathematical
INTECH also announced today the client-funding of its U.S. Low Volatility
strategy, which was launched in October 2011. Like its Eurozone counterpart,
the U.S. Low Volatility strategy seeks to generate a modest excess return
above its benchmark, the Russell 1000 Index, gross of fees, with significantly
lower absolute risk and a high Sharpe Ratio.
INTECH's Eurozone and U.S. Low Volatility products are built on the same
"alpha engine" as INTECH's existing product line of relative- and
absolute-return strategies. During the past 25 years, INTECH has been able to
extend the application of its mathematically driven investment process to
include various equity universes (core, growth, value and high yield);
geographies (global, EAFE, eurozone) and strategic objectives (relative return
and absolute return). INTECH's investment process can also be applied with
varying levels of aggressiveness.
For 25 years, global institutional investment manager INTECH has been
generating alpha by utilizing stock-price volatility as a source of reward
while attempting to limit risk and trading costs. INTECH manages equity
portfolios using a mathematical and scientific approach for clients including
some of the world's largest corporate pension funds, public pension funds,
foundations and endowments, sovereign wealth funds, Taft-Hartley and other
institutional investors. The company's global headquarters is located in West
Palm Beach, Florida, with its research office in Princeton, New Jersey, and
international division in London, England. As of June 30, 2012, INTECH had
approximately $39.4 billion under management and 80 employees worldwide.
INTECH is an independently managed subsidiary of Janus Capital Group Inc.
(NYSE: JNS), based in Denver.
About Janus Capital Group Inc.
Janus Capital Group Inc. (JCG) is a global investment firm offering strategies
from three individual investment boutiques: Janus Capital Management LLC
(Janus), INTECH Investment Management LLC (INTECH) and Perkins Investment
Management LLC (Perkins). Each manager employs a research-intensive approach
that is distinct within its respective asset class. This multi-boutique
approach enables the firm to provide style-specific expertise across an array
of strategies, including growth, value and risk-managed equities, fixed income
and alternatives through one common distribution platform. As of June 30,
2012, JCG managed $152.4 billion in assets for shareholders, clients and
institutions around the globe. Based in Denver, JCG also has offices in
Frankfurt, The Hague, Paris, London, Milan, Munich, Zurich, Singapore, Hong
Kong, Tokyo and Melbourne.
AS-0712(18)0812 EAM PR
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This document does not constitute investment advice or an offer to sell, buy
or a recommendation for securities, other than pursuant to an agreement in
compliance with applicable laws, rules and regulations. Janus Capital Group
and its subsidiaries are not responsible for any unlawful distribution of this
document to any third parties, in whole or in part, or for information
reconstructed from this presentation and do not guarantee that the information
supplied is accurate, complete, or timely, or make any warranties with regards
to the results obtained from its use. As with all investments, there are
inherent risks that each individual should address.
The distribution of this document or the information contained in it may be
restricted by law and may not be used in any jurisdiction or any circumstances
in which its use would be unlawful. Should the intermediary wish to pass on
this document or the information contained in it to any third party, it is the
responsibility of the intermediary to investigate the extent to which this is
permissible under relevant law, and to comply with all such law.
INTECH Investment Management LLC will act as sub-adviser to Janus Capital
Janus is not responsible for any distribution of this document to any third
parties in whole or in part or for information reconstructed from this
Contact: Saira Khan, Prosek Partners, +44-(0)-20-7074-1837
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