Yes

INDEX FUNDS

For many institutional clients, the core of their portfolio is invested to provide exposure to financial markets as part of an overall asset allocation policy.  Index funds provide a very effective way of capturing that exposure. Index funds deliver:

 

  • Consistent returns in line with markets
  • Minimal risk of underperformance against markets by eliminating stock selection risk
  • Low cost annual management fees and dealing costs
  • An effective strategy to meet asset allocation policy objectives or to implement a core and satellite approach

Our Approach

LGIM have developed a number of strategies to indexation that meet the changing requirements of a portfolio over its growth-cycle.  The main objective of each strategy is to maintain an appropriate balance between the close matching of benchmark indices, while minimising trading costs and market impact.

Our highly experienced team of fund managers track a diverse range of indices covering all the major equity and fixed income markets around the world.  Our proven processes and the sheer size of our index fund assets allow us to capture the performance of each market efficiently to provide clients with reliable tracking.  It also gives us unrivalled buying power enabling us to achieve considerable economies of scale and, therefore, increased value for clients.