Transformations in global economic and financial conditions are challenging traditional asset allocation products, El-Erian said. When we began developing this fund early this year, we recognized that ongoing market developments and economic transformations would impact the future set of investor opportunities, and also involve a new and significant configuration of risks. The current financial crisis illustrates this recognition and underscores the need to provide clients with an expanded universe of investment solutions.
The fund will seek to provide investors with a mix of exposures to risk, enhanced returns across multiple domestic and international markets and a cushion against sudden market declines.