Lombard Odier and Robeco join forces to launch an emerging equity fund

Lombard Odier has expanded its fund offering on its PrivilEdge platform with the addition of the PrivilEdge - Robeco Emerging Markets Equities Beta Enhanced. Its aim is to provide investors with consistent returns from emerging market equities, through the application of a rigorous factor-based investment approach.

The fund uses a quantitative approach to refine an initial investment universe of over 2,500 emerging market stocks into a diversified and liquid portfolio of 350-400 stocks. Stock selection is based on a disciplined process that takes into account key characteristics: valuation, momentum, quality, short-term signals and analyst research.

PrivilEdge - Robeco Emerging Markets Equities Beta Enhanced offers investors the best qualities of active and passive, with the aim of neutralizing macroeconomic and style biases and striving to generate a constant alpha. The disciplined approach to stock selection, coupled with the highly diversified nature of the portfolio, allows the Fund to achieve performance with a low tracking error.

The fund will be managed by a quantitative portfolio management team, supported by a network of over 40 experienced quantitative researchers and emerging market specialists.

PrivilEdge Platform

Lombard Odier launched the PrivilEdge fund platform in February 2014 to give clients access to a wide range of externally managed funds in UCITS format. Lombard Odier's open architecture team identifies the best fund managers in each class, capable of managing customized strategies that respond to the needs of investor portfolios through a series of differentiated approaches across all asset classes.

Currently, the PrivilEdge platform holds more than 4.7 million Swiss francs in assets distributed among 32 funds as of the end of March and each strategy is available in different share classes that meet the registration and information requirements of investors.

In the current market environment, investors continue to seek new sources of profitability. The PrivilEdge platform continues to evolve to reflect the needs of investors by offering access to a diversified range of investment solutions. The strategy, applied to emerging markets, makes this an truly exciting opportunity for clients. The Robeco team has extensive experience in quantitative, thematic, credit and emerging market investment strategies, and we are delighted to incorporate this fund into our platform.

Maxime Perrin, Head of Open Architecture at Lombard Odier

At Robeco we pride ourselves on bringing our expertise in quantitative stock selection in emerging markets to the PrivilEdge fund platform of Lombard Odier. Over the past two decades, we have demonstrated our ability to deliver solid and consistent alpha, in both developed and emerging markets, so we are looking forward to working with the Lombard Odier team.

Weili Zhou, Head of Quantitative Investment and Research at Robeco