The Global Tactical Asset Allocation Fund posted a total return of 4.67% for the quarter, compared with 4.30% for the Fund's blended static benchmark. The Fund's outperformance was driven by consistent overweight positions to risk assets, especially U.S. and other developed region equities, and underweights to fixed income and cash.
The Fund's current positioning anticipates that growth in developed world Gross Domestic Product (GDP) in 2014 will successfully replace central bank stimulus as the primary driver of financial asset returns.
For those long-term investors looking to diversify your investment among various asset classes (stocks, bonds, commodities, and other) both domestic and foreign, then this Fund may be right for you.
- Diversify among various asset classes (stocks, bonds, commodities, and other) both domestic and foreign. The allocation will be based on an asset allocation framework developed by the Investment Policy Committee of The Northern Trust Company (TNTC) and Northern Trust Investments, Inc (NTI).
- Invest significantly in funds that invest in companies that are located outside of the U.S. as represented in either the MSCI EAFE® Index, MSCI Emerging Markets Index or other diversified foreign indices.
- Monitor the current asset allocation framework regularly to ensure the allocation is aligned with evolving investment views amid changing market and economic conditions.