Fund manager and platform provider 7IM has launched a range of multi-asset funds which it says will offer advisers low-cost and highly diversified passive investments.

The new funds – the 7IM Pathbuilder range – will be managed by the firm’s investment management team.

The range will initially comprise three funds – 7IM Pathbuilder 1, 2 and 3 – each with an annual management charge of 0.22%. 

The passively-managed funds add to 7IM’s existing multi-asset strategies and offer an extended degree of diversification, the firm says.

The funds will be immediately available on the 7IM Platform and made available on third party platforms shortly.

Verona Kenny, managing director of Intermediary at 7IM, said: “7IM has been a long-term believer in the utilisation of passive investments to provide simple, cost-effective and well-diversified solutions that can meet the varying needs of our clients.

“In the current environment, access to truly deeper levels of diversification has never been more important and we believe there is appetite from advisers for a low-cost range of volatility-managed funds, underpinned by a proven strategic asset allocation framework and investment philosophy.”

Martyn Surguy, chief investment officer of 7IM, said: “Traditional balanced portfolios usually aim to deliver diversification by mixing equities for growth and bonds for their defensive properties, but at 7IM we have long since believed that investors should be looking for far more than this traditional split.

“As truly multi-asset investors, our strategic asset allocation has a proven track record of controlling the downside of portfolios while delivering our clients strong returns with true diversification benefits. Something which has arguably never been more important than in the current environment.”