Fund of Funds
Weatherproof your returns.
Funds of funds offer exclusive access to investments and enable extremely broad diversification. This demonstrably reduces risks in both the short and longer term, but without compromising performance.
Dr Lorenz Huber
Manager · Finance
Specialised strategies and diversification for more stable portfolio results.
Our funds of funds are characterised by highly specialised strategies and broad diversification. On the one hand, this demonstrably leads to a significantly lower risk of loss and a more stable portfolio result. Secondly, the structure of fund of funds provides access to (generally restricted) alternative investments without the high administrative costs associated with direct investment.
Institutional investors enjoy many benefits with us:
Broad risk diversification with consequently low overall volatility of returns through investments in different regions.
The risk of selecting underperforming managers is reduced by our professional and consistently structured fund selection process.
Our extensive network of fund relationships and access to the leading, mostly restricted fund managers with outstanding track records.
In-depth investment expertise across buyout, private credit, infrastructure, secondaries and impact asset classes.
In-house services for portfolio management, risk management, structuring, reporting and administration. German and English-speaking contacts across all teams.
Sustainability focus and consideration of ESG aspects in investment selection, reporting and risk management.
Structuring experience and in-depth knowledge of regulatory and tax requirements.
Even in a dynamic market environment, funds of funds protect a portfolio primarily through diversification of the investments across several asset managers, different vintages and diversification by region and sector.
Bernhard Birgmann
Managing Director · Institutional Clients
Golding is a partner for institutional investors of many years standing.
Investors and partners appreciate the personal cooperation with us and benefit from our expertise in legal, tax and valuation issues as well as with the regulatory requirements of institutional investors.
Due diligence on each individual investment opportunity.
Our established investment process with key criteria ensures a stable track record across market cycles. ESG analysis is an integral part of our investment process.
Investments in Funds of Funds also involve risks.
In addition to the opportunities for returns, an investment in a fund of funds also involves significant legal and economic risks, up to and including the total loss of the invested capital.
- There can be no guarantee that a specific return or earnings target will be achieved. Past returns and forecasts are no guarantee of future success.
- You must assume that the fund of funds is not yet (fully) invested in target funds at the time of your investment (known as the ‘blind pool‘).
- You cannot redeem units of the fund of funds. In addition, units are typically not publicly traded and can therefore only be sold by you during the term of the investment at a considerable discount to the market and/or book values.
- If the fund of funds holds target funds in a foreign currency other than the reference or calculation currency, there is a currency risk.
- You must assume that the tax implications of the various jurisdictions in which the fund of funds is active are not yet known at the time of your investment and may change during the term of the fund of funds.
- The investor bears the risk of the tax and regulatory structure of the fund of funds and the investments made.
Detailed risk information on the fund of funds can be found in the respective issue documents.
